Search form

You are here

  • Home
  • Startup Wrap – Saudi ecosystem flourishes with funding and acquisitions


Startup Wrap – Saudi ecosystem flourishes with funding and acquisitions

Founded in 2023 by Akeed Azmi and David Reche, Cercli offers businesses tools to reduce human error and compliance costs across different markets. (Supplied)
Short Url

https://arab.news/6jq6d

Updated 08 September 2024
Nour El-Shaeri
Follow

Startup Wrap – Saudi ecosystem flourishes with funding and acquisitions

Updated 08 September 2024
Nour El-Shaeri

RIYADH: Saudi Arabia’s startup ecosystem continues to gain momentum, with multiple companies across diverse sectors securing significant funding.

From fintech to auto tech, these startups are attracting substantial investments, reflecting the growing confidence in the Kingdom’s entrepreneurial landscape.

One such company to pick up investment is Saudi Arabia-based autotech Syarah, which secured $60 million in a series C funding round led by Artal Capital, with participation from Elm, Impact46, Tawuniya, and Derayah Ventures.

This latest round brings the company’s total investment to more than $82 million.




Syarah was founded in 2015 by Salah Sharef and Fayez Al-Anazi. (Supplied)

Founded in 2015 by Salah Sharef and Fayez Al-Anazi, Syarah enables customers to purchase new and used cars online and have them delivered to their doorstep.

The company’s platform also offers used cars with a free inspection report, a five-day return policy, and a one-year warranty.

The funds will be used to drive Syarah’s continued expansion and growth in the Saudi automotive market.

Saudi fintech Malaa secures $17.3 million in Series A

Saudi fintech Malaa has closed a $17.3 million Series A round, led by SNB Capital, with additional support from Derayah Financial, Khwarizmi Ventures, Impact46, and WKN.

Established in 2021 by Ali Al-Oraini and Faisal Al-Qarni, Malaa provides a wealth management platform designed to help users make informed financial decisions through data-driven solutions.

The company plans to leverage the new funding to introduce a range of investment and savings products, enhancing its financial services offerings. Malaa previously raised $1.7 million in a seed round in 2022.

Saudi-based Thakaa Med secures seed funding for AI healthtech solutions

Saudi Arabia-based healthtech startup Thakaa Med has raised an undisclosed amount in seed funding from the Falak Angels syndicate.

Founded in 2022 by Al-Waleed Al-Badr, Thakaa Med specializes in AI-driven health care technologies aimed at providing predictive, preventive, and personalized medical solutions.

The funds will support the development of the company’s AI models and the market launch of its core products, Dental IQ and Chest IQ, which aim to revolutionize diagnostic capabilities in health care.

Tabby acquires digital wallet Tweeq

Saudi Arabia-based buy now pay later fintech Tabby has finalized its acquisition of Tweeq, a digital wallet licensed by the Saudi Central Bank.

Founded in 2019 by Hosam Arab, Tabby handles over $6 billion in annual transaction volume.

Tweeq, launched in 2020 by Saeed Albuhairi and Abdulaziz Almalki, offers a digital spending account that allows users to manage their finances efficiently.

The acquisition enables Tabby to expand its financial product suite by adding digital wallets, spending accounts, and money management tools. Tabby closed a $200 million Series D round in November 2023, crossing a $1.5 billion valuation.

Speaking to Arab News, Arab explained that the acquisition will open an array of services that tap into customer needs.

“We have really grown and seen extremely strong demand and appetite from the consumer for what we have offered. But we believe that the consumer needs are a lot broader and a lot wider,” he said.

“Tweeq’s acquisition really helps us to make the next step in our journey of starting to offer more than just a buy now, pay later solution and really getting into the financial needs of our everyday consumer,” Arab added.

Tarabut strengthens position with Vyne acquisition

Open banking platform Tarabut has acquired London-based fintech Vyne to expand its global reach.

Founded in Bahrain in 2019 by Abdulla Al-Moayed, Tarabut connects banks and fintechs through a universal application programming interface.

Vyne, established in 2019, offers real-time account-to-account payments for businesses. The acquisition will enhance Tarabut’s ability to deliver faster and more interconnected financial services across the region.

Earlier in 2023, Tarabut raised $32 million in a Series A round led by Pinnacle Capital.

In an interview with Arab News, Al-Moayed highlighted the reasons behind the acquisition.

“Vyne’s account-to-account payment technology brings a level of depth and efficiency to the region that’s unmatched by anything currently available,” he said.

“By enabling faster transactions and offering a comprehensive tech stack, we’re not just speeding up payments — we’re adding significant value with features like seamless reconciliation. This will make payments not only quicker but also more cost-effective, setting a new standard in the financial services sector across the Middle East, especially in Saudi Arabia,” he added.

Wattnow closes multi-million dollar funding round

Tunisia-based clean tech Wattnow has completed a multi-million dollar funding round, led by Lateral Frontiers and 216 Capital.

Other investors include Outlierz Ventures, Satgana, Octerra Capital, and strategic angels such as Karim Beguir, founder of InstaDeep, and Guillaume Amblard.

Founded in 2018 by Issam Smaali, Wattnow helps businesses optimize their energy usage through a combination of hardware and software solutions.

The fresh capital will support Wattnow’s global expansion and enhance its technology offering. The firm raised $1.3 million in a pre-series A round in 2022.

Cercli raises $4 million in seed funding

UAE-based HR tech Cercli has raised $4 million in a seed round led by Silicon Valley’s Afore Capital, with additional participation from COTU Ventures, Y Combinator, and Rebel Fund.

The round also included notable angels such as Karim Atiyeh, Sebastian Mejia, and Tony Jamous.




Founded in 2023 by Akeed Azmi and David Reche, Cercli offers businesses tools to reduce human error and compliance costs across different markets. (Supplied)

Founded in 2023 by Akeed Azmi and David Reche, Cercli offers businesses tools to reduce human error and compliance costs across different markets. The new funding will support the company’s growth and help attract top-tier talent.

This round marks Afore Capital’s debut in the Middle East and North Africa as it aims to tap into the region’s hidden potential.

Ziina closes $22 million series A

UAE-based fintech Ziina has raised $22 million in a series A round led by Altos Ventures, alongside Fintech Collective, Avenir Growth, and Activant Capital.

Founded in 2020 by Faisal Toukan and Sarah Toukan, Ziina allows users to send and receive payments via phone number, without the need for IBAN or Swift codes.

The funding will support the company’s plans to evolve from a payments platform into a full-suite financial services provider for both consumers and businesses, starting with the introduction of its new ZiiCard.

Hulexo secures seed investment for ERP expansion

UAE-based enterprise resource planning provider Hulexo has raised an undisclosed seed round from Arzan VC.

Launched in 2021, the firm provides customized ERP solutions to retailers, helping them streamline their operations through subscription-based services.

The investment will fund Hulexo’s expansion into the Kuwaiti and Saudi markets.

Verofax secures $3 million bridge round

UAE-based Web3 services provider Verofax has raised $3 million in a bridge round led by King Abdullah University for Science and Technology, Plug & Play Tech Center, Navig8 Group, and Trove Capital UK.

Verofax, founded in 2018 by Wassim Merheby and Jamil Zablah, uses Web3 technologies such as augmented reality, blockchain, and AI to enhance user experiences in tourism, retail, and brand marketing.

The funding will support Verofax’s expansion in the Middle East and Europe, including projects involving AI-powered guides for tourists and sports fans.

Topics: startups

Related

Update
Business & Economy
Car marketplace Syarah secures $20m to expand beyond KSA
Special video
Business & Economy
24 Fintech: Tabby CEO reveals expansion plans after acquisition of SAMA-licensed Tweeq

Emirates’ retrofitted Boeing 777s rolling out to six US cities

Updated 18 September 2024
Arab News
Follow

Emirates’ retrofitted Boeing 777s rolling out to six US cities

  • Boeing 777 with enhanced cabins will be introduced to Chicago, Boston, Dallas Fort Worth, Seattle and linked routes Miami/Bogota and Newark/Athens
  • Flights to and from ten of the 12 gateways in Emirates’ US network will feature Premium Economy by February 2025
Updated 18 September 2024
Arab News

DUBAI: Emirates will be introducing its refurbished Boeing 777s on six routes in the US, providing customers with an elevated experience across all cabins, including the debut of its latest Business Class seats and highly-popular Premium Economy.

The retrofitted Boeing 777 aircraft are scheduled to operate on direct flights to Chicago, Boston, Dallas Fort Worth, and Seattle. In addition, flights to Miami linked to Bogota and to Newark via Athens will also be served with the refreshed aircraft featuring Emirates’ four cabin classes and signature product touches. The refurbished Boeing 777s will debut for the first time in the US starting from next month and until early 2025 with the following schedule:

Chicago — Emirates will introduce its retrofitted Boeing 777 three times weekly on EK 235 and EK 236 starting from 1 November 2024 and will increase to daily from 22 November 2024.
Boston — From 10 December 2024 Emirates’ newly-retrofitted Boeing 777 will serve the route three times weekly as EK 237 and EK 238, increasing to daily from 18 December.
Dallas Fort Worth — Emirates’ enhanced Boeing 777 aircraft will be deployed three times weekly on EK 221 and EK 222 from 9 January 2025, with daily flights starting from 15 January 2025. 
Seattle — The newly-configured aircraft featuring four cabin classes, including Premium Economy, will be rolled out on EK 229 and EK 230 from 24 January 2025.
Newark/Athens — From 10 February 2025, Emirates’ retrofitted Boeing 777 with refreshed interiors and new cabins will operate daily on EK 209 and EK 210
Miami/Bogota — Emirates’ latest B777 experience will be introduced on EK 213 and EK 214, the service to and from Dubai and linking Miami with the Colombian capital, on four weekly flights from 19 February 2025, expanding to daily from 1 March 2025.

With the deployment of its newly retrofitted Boeing 777 aircraft, flights to and from ten of the 12 gateways in Emirates’ US network will feature Premium Economy by February 2025. The understated luxury products will also be available to two cities in Latin America, with Bogota joining Sao Paulo. Emirates’ signature Premium Economy seats will now be available on a mix of Boeing 777 and A380 aircraft, operating to 12 gateways in Emirates’ 19-point network in the Americas. The refreshed aircraft also feature the new Emirates 777 Business Class with seats in a 1-2-1 arrangement, more privacy, fully reclined flat bed in addition to a personal mini-bar among other amenities. 

On the introduction of Premium Economy to additional US routes, Adnan Kazim, Deputy President, and Chief Commercial Officer at Emirates said: “With the success and popularity of Premium Economy on routes like New York JFK, Los Angeles, San Francisco and Houston served by our refurbished A380, we look forward to bringing a new level of comfort and privacy to more cities with refreshed cabins on our Boeing 777s. The introduction of our refreshed product and ensuring consistent experiences in the sky on more routes is part of our long-standing commitment to the US and adding more premium options in a span of just a few months ensures we offer a competitive, value for money proposition for our customers.”

The roll out of Emirates’ refreshed aircraft featuring a four-class configuration will bring the number of routes offering the distinctive Premium Economy product to 27 cities globally including Dubai by the end of 2024, utilising 48 Boeing 777, A380 and A350 aircraft. Besides the US and Latin American points where the retrofitted aircraft will be deployed, customers are already enjoying choice and comfort with refurbished Boeing 777s flying to Geneva, Tokyo Haneda and Brussels, and Zurich along with Riyadh are scheduled from next month. 

The continued roll out of Premium Economy across Emirates’ network allows its US customers to enjoy the luxury, comforts and affordability of Premium Economy to final destinations beyond Dubai including Mumbai, Bangalore and Singapore, to name a few.

Furthermore, Emirates’ customers traveling to United’s hubs in Chicago, Houston and San Francisco, can fly in Premium Economy before connecting to its services to hundreds of US domestic points and cities in Canada and Latin America.

Seats on flights can be booked on emirates.com, the Emirates App, or via both online and offline travel agents.

The four-class Boeing 777 features six or eight First Class suites, 38 or 40 Business class seats in a 1-2-1 arrangement, 24 seats in Premium Economy, and 256 Economy class seats.

In addition to the introduction of Premium Economy on the retrofitted aircraft, customers across all cabins can enjoy the refreshed interiors which sport a blend of beautiful designs and new color palettes, in the carpeting, wall panels, and wood finishings, to name a few of the aesthetic enhancements.

Topics: Emirates Boeing 777 United States of America (USA)

Related

Middle-East
Emirates unveils A380 livery inspired by charity foundation
Corporate News
Emirates brings signature lounge experience to Jeddah

Experts explore pathways for faster electric vehicle integration

Updated 18 September 2024
Ghadi Joudah
Follow

Experts explore pathways for faster electric vehicle integration

Updated 18 September 2024
Ghadi Joudah

RIYADH: Experts discussed the progress of electrification in the private vehicle market, noting that while advancements are being made, mass adoption has not yet been achieved.

Jonathan Spear, policy and strategy adviser at Atkins Realis, shared these insights during a keynote panel titled “How Electric Vehicles Can See Faster Commercial Adoption” at the EV Auto Show on Wednesday.

Key challenges facing the sector include high purchase prices driven by battery costs and the necessity for robust charging infrastructure. Spear pointed out that leading nations in electric vehicle adoption include China, Europe, and the US, while emerging economies are lagging due to the logistical difficulties of electrifying their vehicle fleets.

He emphasized that national regulations and city-level policies play a critical role in promoting the adoption of zero-emission fleets, particularly through public procurement strategies for cleaner vehicles and infrastructure.

Tony Mazzone, managing director at Electromin, highlighted the importance of government support in accelerating the development of EV charging infrastructure. He noted that the cost of electric vehicles remains significantly higher than that of diesel vehicles, largely due to the high expenses associated with technology and batteries.

Mazzone also mentioned that the electrification of larger trucks is progressing more slowly due to technological challenges. For instance, he explained that electrifying a 40-ton truck involves substantial battery weight, making the establishment of charging infrastructure along key routes equally demanding.

Looking ahead, Mazzone expressed optimism that advancements in technology, such as solid-state batteries, could address these challenges by 2030.

Vincent Jia, managing director at Yutong Trucks, discussed the company’s focus on three primary markets in the Middle East: Saudi Arabia, the UAE, and Qatar. He observed that Saudi Arabia’s electric truck market is slower to adopt compared to its neighbors, attributing this to the kingdom’s lower fuel prices.

Spear reiterated the importance of implementing the right policies, legislation, and national regulations to foster EV adoption in Saudi Arabia. He also stressed the need for openness to innovation and technological trials that suit the region’s climatic conditions.

In conclusion, Spear suggested that effective practices should consider the entire lifecycle of electric vehicles, including their construction and supply chain, to ensure a comprehensive approach to reducing carbon emissions.

Topics: EV2024 main

Electromin to install 16 EV charging stations at Roshn Waterfront by end of 2024

Updated 18 September 2024
Nour El-Shaeri
MANAL AL-BARAKATI
Follow

Electromin to install 16 EV charging stations at Roshn Waterfront by end of 2024

Updated 18 September 2024
Nour El-Shaeri MANAL AL-BARAKATI

RIYADH: The installation of 16 electric vehicle chargers at the Roshn Waterfront in Jeddah Corniche is expected to be completed by the end of this year, according to Tony Mazzone, managing director of Electromin.

In an interview with Arab News during the EV Auto Show in Riyadh on Sept. 17, Mazzone announced that the company has signed two partnership agreements aimed at enhancing the sector’s infrastructure. The first agreement involves collaboration with Roshn Waterfront to develop EV charging facilities, ensuring that visitors can conveniently charge their vehicles while enjoying the corniche.

“Across the 4-km strip on the corniche, we’re looking to deploy 16 chargers in eight different locations. The intention is to support those that already visit the corniche and obviously more and more transition to EV, but they’ve got a place to charge while they enjoy the experiences there. The intention is not to go there to charge, the intention to go enjoy what you do, but while you’re there, you can charge at the same time,” Mazzone told Arab News.

He added that the installations are expected to be completed by the end of this year, at which point they will be accessible to the public and featured on the Electromin mobile application.

The second partnership involves an agreement with Solutions Valley, the commercial arm of Saudi Electricity Co., aimed at supporting the development of EV infrastructure.

The app

“All of our public chargers are all on (an) application. So, the application allows you to plan your routes. You can see those chargers. It’s all live. The key thing is to get over the anxiety of people that have an electric car to say, I have a car, where do I charge?” he said.

“We have over 110 chargers now, live locations. We have 26 in Jeddah. We have around 30 in Riyadh, specifically in the two main cities. And we’ll be adding to that by the end of Q4 of this year,” he added.

Expansion

As a private entity, Electromin’s expansion strategy is driven by the increasing demand for electric vehicle infrastructure. Mazzone noted that deploying chargers and establishing the necessary infrastructure requires substantial capital investment, making the commercial aspect a primary focus.

“In terms of the deployment plan, we need to align it with demand. We understand that EV adoption is currently progressing slowly, but there will be a ramp-up. It’s essential to deploy infrastructure as demand dictates,” he explained.

Additionally, the company is entering the rapid transit sector by installing and operating a fully electric bus system in Makkah, set to launch in the first quarter of next year.

Mass adoption

Mazzone stressed the necessity of accelerating EV adoption in Saudi Arabia, underscoring the vital role of government support.

“I think what’s critical to Saudi Arabia right now is to accelerate the adoption. We need support from the government, incentives to subsidize some of the costs to support the consumer in the purchase of electric vehicles. And we know in other countries or other regions around the world, the mass adoption has happened on the back and the strength of those incentives and legislation changes,” he explained. 

He identified two primary barriers to widespread EV adoption in the region: price and convenience. “For potential EV drivers, there are two hurdles to overcome: the cost and the convenience of charging,” Mazzone stated.

Addressing current challenges, he highlighted that electric vehicles are generally more expensive than traditional cars and that insufficient charging infrastructure poses significant obstacles. “Right now, if you buy an electric car, it will cost you more than a traditional vehicle, and the lack of charging stations makes it more complicated,” he said.

“For the mass adoption to occur, you need to get price parity and you need to make sure that when people transition, they can do it seamlessly. So, our idea, our ideals, make sure that when people drive, like a traditional petrol car, they don’t think about where they fuel, they drive without any anxiety. And I think the infrastructure needs to be in place to support that adoption. It needs to happen in that order,” he added.   

Topics: EV2024 main

EV Auto Show 2024: Saudi car rental and B2B sectors to drive EV adoption by 2026, says executive 

Updated 18 September 2024
Sulafa Al-Khunaizi
REEM WALID 
Follow

EV Auto Show 2024: Saudi car rental and B2B sectors to drive EV adoption by 2026, says executive 

Updated 18 September 2024
Sulafa Al-Khunaizi REEM WALID 

RIYADH: Saudi Arabia’s car rental and business-to-business sectors are expected to drive electric vehicle adoption in the coming two years, according to an industry leader. 

Speaking during a panel discussion at the EV Auto Show in Riyadh, Hashim Al-Fatayerji, regional executive director at Sixt, forecast a rise in EV dealerships across the Kingdom.

“In 2025 and 2026, we will see more adoption of EVs across the rental car and B2B sectors,” he said. 

Saudi Arabia aims to convert 30 percent of Riyadh’s vehicles to electric by 2030, part of a broader strategy to cut emissions in the capital by 50 percent and achieve carbon neutrality by 2060.   

Al-Fatayerji anticipates the opening of additional dealerships – including American and European brands – and increased local production of EVs by the end of 2026.

“This will be a game changer for the industry because it will change the dynamics of purchasing power in the market and where we are buying cars from,” he added. 

Al-Fatayerji also noted that Sixt is working closely with partners and suppliers to ensure operational efficiency and profitability.   

Nicolas Verneuil, managing director at Petromin Stellantis, emphasized the need for further progress in the EV sector.

“More needs to be done, of course, and until we reach the right level of capillarity, people will wonder, ‘Can I get quite the same driving experience with an EV as I do with my combustion engine?’” he said.  

Verneuil also highlighted the efforts of the government, the Public Investment Fund, and private companies in accelerating infrastructure development. 

Lisa Brigmann, president and CEO of AdvantEdge Engineering Group, discussed the role of automotive companies and rental businesses in EV adoption.

“I think that it would be really helpful for big automotive companies and even car rental companies to start helping customers envision how they can accept EVs into their daily lives,” she said.  

Brigmann also pointed out that while material costs for EVs remain high, the benefits of lower CO2 emissions are a significant driver. “When they rent or own a car, they are actually part of the solution to reducing emissions,” she added.  

In a separate panel, James Luxbacher, managing director at Sixt, addressed the pricing challenges of EVs.  

Luxbacher noted that the rapid decline in vehicle pricing makes it challenging for owners who plan to resell their vehicles after a certain period. “We need some more stability, and I think most of us are learning right now. It will get more stable in the future,” he said.  

The Sixt managing director also commented on the reliability of EVs, saying: “But again, it takes the infrastructure too if you want to go on longer trips with the truck. Particularly in last-mile delivery, we’ll see a big uptick in it.” 

The EV Auto Show, held at the Riyadh International Convention and Exhibition Center, aligns with Saudi Arabia’s Vision 2030, underscoring its commitment to EVs and sustainable technology.  

The event brings together automotive manufacturers, charging solution providers, policymakers, and consumers to explore the future of mobility. Attendees can engage with a range of EVs, charging solutions, and green technologies through interactive seminars and panel discussions. 

Topics: EV2024 electric vehicle (EV) Petromin Stellantis Sixt main

Related

Business & Economy
Saudi Arabia’s EV auto show kicks off with major fleet decarbonization agreements
Business & Economy
Experts call for enhanced incentives to boost EV adoption at Saudi auto show

Italian business body of 7,000 firms eyes investments in Saudi Arabia

Updated 18 September 2024
Miguel Hadchity
Follow

Italian business body of 7,000 firms eyes investments in Saudi Arabia

Updated 18 September 2024
Miguel Hadchity

RIYADH: An Italian business federation representing 7,000 companies has announced plans to increase Italian investments in Saudi Arabia, focusing on opportunities aligned with Vision 2030.

According to the Saudi Press Agency, the federation includes major Italian firms across key economic sectors. This announcement was made during the Saudi-Italian Business Forum, held at the Saudi Chambers Federation. The event featured the newly appointed Italian Ambassador to Saudi Arabia, Carlo Baldocchi, along with representatives from over 140 companies and officials from both nations.

Attilio Fontana, president of the Lombardy Regional Government, emphasized that Lombardy, which has a gross domestic product exceeding $444 billion, is a crucial part of the Italian economy and offers significant opportunities for international investors. He noted that the visit aims to enhance the role of Italian expertise in Saudi investments, scientific collaboration, and cultural exchange, while committing to provide incentives for Saudi investors.

Kamel Al-Majid, chairman of the Saudi-Italian Business Council, highlighted the growth in bilateral trade between Saudi Arabia and Italy, which is now approaching SR38 billion ($10.1 billion). Lombardy has made substantial contributions through key exports such as machinery, chemicals, and automotive products.

He also pointed out that cooperation in logistics, infrastructure development, and digital technologies could create significant opportunities for Italian investors, while Italian expertise in construction can support major projects in Saudi Arabia.

Lombardy, a financial and industrial powerhouse, hosts the Italian stock exchange and attracts global investments in sectors like automotive, aerospace, life sciences, biotechnology, artificial intelligence, and advanced technologies.

Saudi Arabia is actively enhancing its efforts to attract foreign investments across various sectors. The recent update to its investment law aligns with international best practices to create a more favorable business environment.

Announced in August, the new legislation replaces the Foreign Investment Law of 2000, aiming to ensure equal treatment for domestic and foreign investors. At the launch of the new law, Saudi Investment Minister Khalid Al-Falih stated that the legislation “reaffirms Saudi Arabia’s commitment to creating a welcoming and secure environment for investors.”

In January, Hassan Al-Huwaizi, president of the Federation of Saudi Chambers of Commerce and Industry, announced that the number of Saudi foreign business councils had reached 70, including those with major global economic players such as China, the US, Japan, and the UK, as well as Italy, France, and the UAE.

The recent reestablishment of the business council with Canada in July is the latest step in a plan led by the federation to strengthen the Kingdom’s international trade relationships as part of the Vision 2030 economic diversification strategy.

Topics: main

Latest updates

Boeing furloughs thousands as it hunkers down for extended strike
UN chief urges divided nations to approve blueprint to address global challenges from climate to AI
House Republicans fail to pass spending, voting bill as shutdown approaches
X update allows app to bypass Brazil ban: Internet providers
Harris hits Trump’s promise of mass deportations as Trump rallies on Long Island

Search form

Print Edition
Read pdf version Subscribe now
© 2024 SAUDI RESEARCH & PUBLISHING COMPANY, All Rights Reserved And subject to Terms of Use Agreement.