The loan to Dat Bike, Vietnam’s fastest-growing electric motorbike company, will provide funding to increase production capacity in response to growing market demand.
26 August 2024, Ho Chi Minh City – The Private Infrastructure Development Group (PIDG) company, InfraCo Asia, has provided a US$4m convertible loan to Vietnamese electric two-wheeler manufacturing company Dat Bike, Vietnam’s fastest-growing electric motorbike producer. The loan will allow Dat Bike to more than double its production capacity through facility expansion, tool optimisation, and increased automation.
Dat Bike is the only vertically integrated electric motorbike manufacturer in Vietnam, and only one of three local e-motorbike producers. It runs all its research and development, as well as vehicle builds from inside the country, and more than 90% of its spare parts come from domestic sources. With four new model releases across its five years in operation, its bikes are sold direct-to-consumer and businesses with the capability for users to quickly integrate firmware updates and product improvements.
The loan provided by InfraCo Asia is expected to facilitate the adoption of more than 30,000 e-two-wheelers in the next two years. These vehicles would be expected to avoid close to 26,000 tCO2e each year, and thus contribute to the decarbonisation of the transport sector in Vietnam. The transaction is expected to create 30 short-term jobs and 29 long-term jobs during operation, 24% of which are estimated to be taken by women. It supports SDG 11: Sustainable Cities and Communities and SDG 13: Climate Action.
In the picture: The Dat Bike production facility in Ho Chi Minh City, Vietnam.
