Startup Wrap – Middle East SME funding activity flourishes with significant sums 

Rami Tabbara, Manar Mahmassani, and Ricardo Brizido from UAE-based proptech firm Stake, which raised $14 million in a series A funding round. Supplied
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Updated 01 October 2024
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Startup Wrap – Middle East SME funding activity flourishes with significant sums 

CAIRO: The Middle East region has been witnessing a significant boost in startup activity, with numerous entrepreneurs securing funding across key sectors.  

Additionally, multiple investment pools were established, with Qatari and Emirati venture capitals aiming to further amplify the ecosystem. 

Regional startups are particularly eyeing the burgeoning Saudi market, with UAE-based proptech firm Stake raising $14 million in a series A funding round to enter the Kingdom.

The round was led by Middle East Venture Partners, with participation from Aramco’s Wa’ed Ventures, Mubadala, and Republic. 

Founded in 2021 by Rami Tabbara, Manar Mahmassani, and Ricardo Brizido, Stake is a digital real estate investment platform that offers options for income-generating properties in Dubai. 

The newly raised funds will be used to expand Stake’s services into Saudi Arabia this year. 

In 2022, Stake closed its pre-series A round at $8 million, backed by MEVP and BY Ventures, with participation from returning investors Vivium Holding and Combined Growth Real Estate. 

Saudi edtech Tahdir raises $270k in pre-seed round  

Saudi-based edtech Tahdir has closed a pre-seed funding round of $270,000 from a group of angel investors.  

Founded by Mohammed Al-Doukhi and Khalil Al-Haid, Tahdir’s platform automates daily school and educational management processes, and the company claims to be serving 92 schools with over 30,000 users. 

The investment will help the company enhance its capabilities and expand its operations within the Kingdom. 

Egypt-based medtech i‘SUPPLY secures pre-series A round  




i‘SUPPLY was founded in 2022 by Ibrahim Emam, Malek Sultan and Moustafa Zaki. Supplied

Egypt-based medical tech startup i‘SUPPLY has secured a pre-series A round, bringing its total funding to $2.5 million since its inception in 2022.  

This round saw participation from several investment funds, including Disruptech Ventures, OneStop Capital, Axian Investment CVC, and Egypt Ventures. 

Founded by Ibrahim Emam, Malek Sultan, and Moustafa Zaki, i‘SUPPLY aims to digitize the pharmaceutical business by offering a one-stop-shop solution to quickly predict and overcome supply chain disruptions.  

The new funding will bolster i’SUPPLY’s expansion plans, enhance its capabilities in financing small and medium-sized pharmacies, and further develop its fintech offerings and technological services. 

Egyptian fintech Sahl raises $6m in series A round 

Cairo-based fintech Sahl has raised $6 million in an investment that acts as a series A and seed funding round led by Ayady for Investment and Development. Existing investors Egypt Pay, Delta Electronic Systems, and E-Finance also participated in the round.  

Founded in 2020 by Ahmed Othman, Ibrahim Assal, and Abullah Assal, Sahl is a bill payment platform that allows users to recharge prepaid cards.  

The company is one of the few Egyptian firms integrating directly with several government entities.  

The new funds will help refine and develop Sahl’s offerings and extend its services to Saudi Arabia after its regional launch in the UAE.  

UAE’s Qstay raises $4.6m in pre-series A round 




Jumeirah beach residence. Supplied.

UAE-based hospitality platform Qstay has raised $4.6 million in a pre-series A funding round through a combination of conventional and convertible debt.  

Founded in 2020 by Artur Khayrullin, Ekaterina Rogozhina, Alec Fesenko, and Natalya Fesenko, Qstay operates as a virtual hotel brand with 200 units.  

Qstay provides digital app-based access to nearby pools, beaches, gyms, and spas for guests staying in beachfront properties.  

To date, the company has raised $11.1 million. In July 2022, Qstay closed a debt and equity Seed round of $6.5 million. 

UAE-based Polynome Group announces $100m fund for AI startups 

UAE-based event management company Polynome Group has announced a $100 million fund to invest in artificial intelligence startups.  

The fund will target startups in technology, AI software applications, and robotics, aligning with goals to expand the adoption of digital technologies beginning in the first quarter of 2025. 

The fund will adopt the “founders for founders” concept, investing in seed, series A, and growth stage startups with initial investments ranging from $500,000 to $5 million per company. 

UAE-based contech Tenderd secures $30m in series A funding 

Construction technology firm Tenderd has closed a $30 million series A funding round, led by A.P. Moller Holding, with new investors Quadri Ventures and Saurya Prakash joining existing investors Wa’ed Ventures, Nakhla Ventures, SOMA Capital, and Liquid 2 Ventures. 

Founded in 2018 by Arjun Mohan, Tenderd provides customers with AI-generated insights to increase asset utilization and reduce emissions, focusing on heavy industries such as construction and logistics.  

The capital will fuel technological innovations and support the UAE-based firm’s global expansion efforts. 

Qatar-based Rasmal Ventures launches first home-grown fund 

Qatar-based VC firm Rasmal Ventures LLC has launched its first home-grown fund, aiming to drive innovation and investment in Qatar and the Middle East and North Africa region.  

The Rasmal Innovation Fund I LLC targets high-performance startups in climate tech, fintech, business to business Software-as-a-Service, and AI sectors. 

For the initial closing, the fund has raised $30 million from institutional investors and family offices, with the goal of reaching $100 million in investment commitments. 

Kuwait-based travel tech Waves secures investment round 

Kuwait-based travel tech startup Waves has closed an investment round for an undisclosed amount, co-led by BNK Capital and Aujan Enterprises.  

Founded in 2021 by Abdulrahman Al-Sadoun and Sulaiman Al-Tunaib, Waves is an online marketplace for booking sea trips, marine activities, and chalets with operations in Kuwait, Saudi Arabia, Qatar, and the UAE. 

The investment will be used to enhance Waves’ services in Saudi Arabia. 

E-commerce platform Orisdi raises six-figure bridge round 

Iraq-based e-commerce platform Orisdi has raised a six-figure bridge round of investment, backed by existing investors including Al Sharqiya TV Group, Iraq Venture Partners, and various angel investors.  

Founded in 2019 by Ahmed Al-Kiremli and Hala Usama, Orisdi offers a range of products across verticals such as perfumes, cosmetics, appliances, stationery, and electronics. 

This funding round, which closed in April 2024, will support Orisdi’s business development efforts and highlight the potential of the e-commerce sector in Iraq.


OPEC+ moves to set 2027 production baselines

Updated 28 May 2025
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OPEC+ moves to set 2027 production baselines

RIYADH: OPEC+ announced on Wednesday that it will establish a framework to determine new oil production baselines for 2027, marking a significant step in its long-term planning, said an official statement.

The alliance — comprising the Organization of the Petroleum Exporting Countries and partners including Russia—has been negotiating revised production baselines for several years. These baselines serve as reference points from which member states adjust their output levels.

According to the statement issued following the group’s meeting, said it had tasked the OPEC Secretariat with developing a mechanism to assess each country’s maximum production capacity. These assessments will form the basis for 2027 production targets across all member nations.

Since 2022, the group has implemented three tiers of output cuts. Two remain in place through the end of 2026, while the third is being gradually phased out by eight participating countries. No changes were made to the group’s current production policy at Wednesday’s session.

Due to the sensitive nature of the discussions, all sources spoke on condition of anonymity.

The 2027 baselines, once finalized, are expected to guide production policy after the current round of cuts expires.

Oil prices, which dipped below $60 per barrel in April—the lowest level in four years—following OPEC+’s decision to accelerate May output and amid trade tensions triggered by US tariffs, have since rebounded to around $65.


Saudi Arabia launches advanced manufacturing center to boost industrial innovation

Updated 28 May 2025
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Saudi Arabia launches advanced manufacturing center to boost industrial innovation

JEDDAH: Saudi Arabia has launched the Advanced Manufacturing and Production Center, a key initiative aimed at accelerating the Kingdom’s industrial transformation through the adoption of advanced technologies and sustainable practices.

Unveiled on May 28, the center is set to play a central role in promoting efficiency, flexibility, and growth within the manufacturing sector. It will utilize technologies associated with the Fourth Industrial Revolution to localize production and enhance Saudi Arabia’s competitiveness on the global stage.

The initiative also supports strategic industries while aligning with the objectives of Saudi Vision 2030, the country’s long-term plan to diversify its economy. A major focus is encouraging private sector collaboration to speed up the integration of emerging technologies into industrial operations.

The launch supports the National Industrial Strategy, introduced in October 2022, which aims to increase the number of factories in the Kingdom to approximately 36,000 by 2035. The strategy is designed to attract investment, scale up local production, and strengthen non-oil exports.

The Ministry of Industry and Mineral Resources is overseeing several projects to advance the Kingdom’s industrial and logistical infrastructure, positioning Saudi Arabia as a key player in global manufacturing and trade.

“Adopting the latest industrial technologies raises the efficiency of our industrial sector and enhances its competitiveness regionally and globally,” said Khalil bin Ibrahim bin Salamah, deputy minister of industry and mineral resources for industrial affairs, in a post shared by the ministry on X.

In an accompanying video, the ministry reiterated the center’s significance in meeting national goals: “The Advanced Manufacturing and Production Center opens doors to industrial investment opportunities and stimulates the sector to adopt new manufacturing technologies within industrial facilities.”

The center is supported by several initiatives and programs, including the Future Factories Program, which aims to modernize 4,000 factories across the Kingdom. The FFP focuses on integrating advanced manufacturing systems to boost efficiency and build more resilient supply chains—particularly in critical sectors such as food and petrochemicals.

According to its official website, the center serves as a hub for industrial innovation, providing consultancy services, training, and technological solutions. It is dedicated to fostering sustainability and competitiveness across the manufacturing sector.

Through these efforts, the center is expected to significantly contribute to Saudi Arabia’s Vision 2030 goals by localizing high-tech capabilities, attracting investment, and advancing the industrial sector’s role in the nation’s economic diversification.


Closing Bell: Saudi main index rises to close at 11,052

Updated 28 May 2025
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Closing Bell: Saudi main index rises to close at 11,052

RIYADH: Saudi Arabia’s Tadawul All Share Index advanced on Wednesday, closing higher by 127.58 points, or 1.17 percent, to reach 11,052.76, reflecting broad market optimism.

Trading activity remained robust, with a total turnover of SR4.57 billion ($1.21 billion). Of the listed stocks, 202 posted gains while 44 declined.

The Kingdom’s parallel market, Nomu, also recorded gains, rising 340.91 points, or 1.28 percent, to close at 26,932.95. The market saw 48 advancing stocks against 34 decliners.

Meanwhile, the MSCI Tadawul 30 Index climbed 15.12 points, or 1.08 percent, ending the session at 1,413.70.

Fawaz Abdulaziz Alhokair Co. emerged as the session’s top performer, with its share price jumping 5.77 percent to SR16.50.

Ataa Educational Co. and Kingdom Holding Co. followed closely, gaining 5.46 percent and 5.22 percent to close at SR61.80 and SR8.66, respectively.

On the downside, United Carton Industries Co. registered the steepest decline, falling 4.87 percent to SR46.85. Banan Real Estate Co. dropped 2.4 percent to SR4.48, while Nama Chemicals Co. slipped 1.78 percent to SR27.55.

On the announcements front, Saudi AZM for Communication and Information Technology Co. disclosed it has submitted a request to transfer its listing to the main market.

Additionally, the initial public offering for Flynas Co. began on May 28 and will conclude on June 1. The offering is priced at SR80 per share, with a retail tranche comprising 10.25 million shares. According to a statement, BSF Capital is the lead manager.

Alkathiri Holding Co. announced that its subsidiary has signed a 50-year lease agreement valued at SR143 million with the Asir Region Municipality to develop a commercial and hospitality project in the city of Abha.

According to a statement published on the Saudi stock exchange, the project will feature a four-star hotel with a capacity of 180 keys, alongside retail and entertainment facilities. The development aims to boost tourism and enhance commercial services in the Asir region.

The lease will officially begin upon the land handover by the Investment Committee of the Asir Region Municipality.

Shares of Alkathiri Holding closed Wednesday’s trading session at SR2.06, marking a 1.96 percent gain.

In a separate disclosure, Mufeed Co. announced that its board of directors has recommended to the ordinary general assembly the transfer of its statutory reserve balance — totaling SR3.49 million, as reported in the financial statements for the year ended Dec. 31, 2024 —to retained earnings.


Saudi Arabia’s Asir region revitalizes 95% of stalled projects

Updated 28 May 2025
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Saudi Arabia’s Asir region revitalizes 95% of stalled projects

  • Asir is a vast region in the Kingdom with a population exceeding 2 million people
  • Interest from global players seeking early opportunities in the region’s evolving landscape has grown

ABHA: Saudi Arabia’s Asir region has successfully revitalized 95 percent of its previously delayed project, an important milestone that is strengthening investor confidence as the region moves forward with SR29 billion ($7.73 billion) worth of initiatives across various sectors.

In an interview with Arab News, Hashim Al-Dabbagh, CEO of Asir Region Development Authority, stated that a dedicated committee, chaired by Asir Gov. Prince Turki bin Talal, was formed several years ago to tackle long-standing investment challenges that had stalled progress in the region.

“The total number of cases that have been brought to this committee to address has been 63, all brought to the table,” Al-Dabbagh said.

He continued: “Of these 63 cases that have been brought to this committee to address and to solve, 60 cases have been solved, and three are in the pipeline right now, and they’re working on them, and they’re going to solve them relatively soon.”

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Of the 60 resolved, 57 were concluded with outcomes that satisfied investors, reflecting a resolution rate of nearly 95 percent.

“This committee and the work that they have done has created some very positive vibes across the investment ecosystem in Saudi Arabia, which you sense in this forum because there are some very large investors that are coming to Asir, some coming back to Asir which had not been interested in this region in the past,” Al-Dabbagh said.

The board operates in collaboration with various public and private entities, including ASDA, the Ministry of Investment, the Ministry of Tourism, the Tourism Development Fund, and King Khalid University, ensuring a unified approach to accelerating investor activity in the region.

This resolution mechanism plays a key role in supporting the region’s development strategy, which focuses on unlocking investment potential across various sectors.

“First of all, we have a strategy that drives everything that we are doing,” Al-Dabbagh said.

He added: “The strategy has been approved by the center of government, and it says that Asir should be a year-round preeminent destination, so already we know that we need to focus on the tourism sector and complementary and adjacent sectors to the tourism sector. That’s one, and that gives us a lot of momentum in working with the government ecosystem and the private sector.”

Al-Dabbagh emphasized that Asir is more than just a tourism destination, noting that it is a vast region in the Kingdom with a population exceeding 2 million people.

“Within the Asir Development Authority, we have a whole department called Economic Development Department, and they are working diligently this year on sectoral studies across the board.”

He added: “This includes, obviously, tourism-related sectors, but also other ones, so just as an example, we are looking at sports, we are looking at construction. We’re looking at fisheries and agriculture. We’re looking at renewable energy. We’re looking at mining among other sectors.”

The authority is also aligning its economic strategy with educational institutions to ensure the region’s workforce is equipped to meet the demands of upcoming sectors.

“We are working closely with King Khalid University, the TVTC (Technical and Vocational Training Corp.), Bishop University, and other educational institutions to align the strategies and to make sure that their graduates are able to find jobs in the opportunities that are going to be realized as we realize this strategy,” he said.

On attracting investments, Al-Dabbagh stated: “What I call the investment ecosystem in Asir, it’s the framework that we use to assess investments, is comprised of three components. The first component is the Invest in Asir committee, and that’s headed by Prince Turki in his capacity as the chairman of the Aseer Development Authority and includes all the public and private sectors.”

He explained that the region offers a compelling opportunity for early movers due to its untapped potential, strategic government backing, and the ability to enter key sectors before they reach full maturity, providing investors with a critical advantage in shaping long-term development.

“Asir relative to those mature, tourism destinations, offers relatively less mature areas, so when they’re coming in, they’re coming in early and they’re going to have a ... not a first mover advantage, but an early mover advantage compared to people that are going to see this place for five years or 10 years down the road when all these incumbents are already on the ground.”

Attracting FDIs

Foreign direct investment is also gaining momentum in Asir, with growing interest from global players seeking early opportunities in the region’s evolving landscape.

“One of the speakers in today’s forum was Fatih (who is managing partner of FTG Development), and they are looking at an investment worth billions in Asir. That is just one example, and foreign direct investors, they look for successful local investors to partner with,” Al-Dabbagh said.

He concluded: “Our doors are open. We’re very happy to meet with the investors from anywhere.”


EU lifts economic sanctions on Syria

Updated 28 May 2025
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EU lifts economic sanctions on Syria

BRUSSELS: The European Union lifted economic sanctions on Syria on Wednesday in an effort to support the country’s transition and recovery after the toppling of former president Bashar Assad.
The move follows a political agreement reached last week by EU foreign ministers to lift the sanctions.
The EU will keep sanctions related to Assad’s government and restrictions based on security grounds, while also introducing new sanctions against individuals and entities connected to a wave of violence in March, the Council said.
“The Council will continue monitoring developments on the ground and stands ready to introduce further restrictive measures against human rights violators and those fueling instability in Syria,” it added.