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Aramco Ventures leads $30m Spiritus investment

Aramco Ventures led a $30 million Series A funding round for US-based climate tech startup Spiritus to help scale its direct air capture technology. (Supplied)
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Updated 09 March 2025
Nour El-Shaeri
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Aramco Ventures leads $30m Spiritus investment

  • Industry leaders drive innovation with global funding rounds
Updated 09 March 2025
Nour El-Shaeri

RIYADH: Saudi Arabia’s investment landscape continues to expand across diverse sectors, with industry leaders participating in global funding rounds, driving innovation beyond the Middle East and North Africa region. 

Aramco Ventures has led a $30 million Series A funding round for US-based climate tech startup Spiritus, joined by Khosla Ventures, Mitsubishi Heavy Industries America, and TDK Ventures. 

The investment will help Spiritus scale its direct air capture technology, designed to reduce carbon emissions from data centers and industrial construction without slowing expansion. 

“We’re seeing soaring demand for data centers and heavy industries, yet we can’t ignore the carbon that comes with it,” said Charles Cadieu, CEO and co-founder of Spiritus. 

“Our DAC technology brings large-scale decarbonization within reach. This funding advances our vision of supporting America’s explosive growth while keeping emissions in check,” he added. 




SC Ventures has signed a memorandum of understanding with Visa to develop digital solutions for SMEs across the MENA region.

Bruce Niven, executive managing director of strategic venturing at Aramco Ventures, said that direct air capture has the potential to play an important role in decarbonizing hard-to-abate sectors of the economy, but until now, it has been too expensive to be meaningful.

“Breakthrough approaches like Spiritus are needed. We are excited to partner with Spiritus and bring this important technology to market,” Niven added.

Talabat acquires Instashop from Delivery Hero for $32m 

Kuwait-born and UAE-based q-commerce and food tech platform Talabat has completed the acquisition of 100 percent of Instashop from Delivery Hero SE for $32 million. 

The acquisition strengthens Talabat’s grocery and retail segment while expanding its partner network across the MENA region. 

Instashop, founded in 2015 by John Tsioris, will continue to operate as an independent brand under Talabat’s grocery and retail division. 

The platform connects users with vendors in the UAE, Bahrain, Egypt, Lebanon and Qatar and has an annual gross merchandise volume of $300 million. 

Talabat, founded in 2004, was acquired by Rocket Internet in 2015 for $170 million and operates in the UAE, Oman, Qatar, Bahrain, Jordan, Iraq, and Egypt.

SC Ventures and Visa partner to support SMEs in MENA 

SC Ventures, the fintech investment and innovation arm of Standard Chartered, has signed a memorandum of understanding with Visa to develop digital solutions for small and medium-sized enterprises across the MENA region. 

The partnership was formalized at a signing ceremony at the Visa Innovation Center in Dubai. 

Rola Abu Manneh, CEO of Standard Chartered Middle East, UAE, and Pakistan, and Saeeda Jaffar, Visa’s senior vice president and group country manager for the GCC, highlighted their commitment to fostering SME growth in the UAE and beyond. 

Breakthrough approaches like Spiritus are needed. We are excited to partner with Spiritus and bring this important technology to market.

Bruce Niven, executive managing director of strategic venturing at Aramco Ventures

LoftyInc. Capital Management secures $43m first close for Africa-focused fund 

LoftyInc. Capital Management has secured $43 million in the first close of its LoftyInc. Alpha Fund, a late-seed investment vehicle targeting startups in Nigeria, Egypt, Kenya, and Francophone Africa. 

The fund has attracted backing from African and international investors, including sovereign wealth funds, development finance institutions, and high-net-worth individuals. 

Key investors include Egypt’s Micro, Small, and Medium Enterprises Development Agency, Tunisia’s Anava Fund of Funds, and the Dutch Entrepreneurial Development Bank, as well as Proparco with FISEA.

The International Finance Corp., AfricaGrow, the Dutch Good Growth Fund, and US-based First Close Partners were also investors.

Capital Haus acquires 11.6 percent stake in Equity Story Group 

UAE-based financial concierge firm Capital Haus has acquired an 11.6 percent strategic stake in Equity Story Group Ltd., pushing its total assets under management beyond $1 billion. 

The investment aligns with Capital Haus’ focus on delivering alternative wealth management solutions for high-net-worth individuals and corporate investors. 

As part of the deal, Brendan Gow, founder and managing director of Capital Haus, has been appointed as an executive director on the board of Equity Story Group.

“With the UAE’s emergence as a leading global wealth hub, investors are increasingly looking for alternative asset classes, cross-border investment access, and concierge-style financial services,” the press release stated.

Egypt’s Mrkoon raises bridge funding from A Ventures 

Egypt-based waste management platform Mrkoon has secured bridge funding from A Ventures, increasing the investment firm’s stake in the startup to 28 percent. 

The funding will support Mrkoon’s regional expansion, with plans to enter the Gulf Cooperation Council market. 

Founded in 2022 by Mohamed Shalabi, Ahmed Mamdouh, and Ahmed Amir, Mrkoon operates a business-to-business platform that enables enterprises, particularly in the industrial and manufacturing sectors, to offload surplus materials and scrap. 

A Ventures, an Egypt-based investment and portfolio management firm, was established in 2024 by Sherif Ramadan and Ayman Abbas.

BILRS secures funding from Salica Spring Studios 

UAE-based fintech BILRS has raised an undisclosed funding round from Salica Spring Studios, backed by Al-Waha Fund of Funds. 

The investment will help the company expand its operations, enhance its technology, and grow its global reach. 

Founded in 2022 by Rupert Shaw, BILRS provides international bill payment solutions, mobile top-ups, and gift cards, enabling seamless cross-border transactions in the B2B space. 

The company previously secured pre-seed funding from Haatch in 2023.

Foras secures stake in crowdfunding platform Beban 

UAE-based investment firm Foras has acquired a 36 percent stake in Beban, a Bahrain-based crowdfunding platform, for an undisclosed amount. 

The investment aims to enhance access to capital for startups and entrepreneurs across the region. 

Founded in 2022, Beban is a subsidiary of Hope Ventures and is licensed by the Central Bank of Bahrain. 

The platform connects entrepreneurs with investors to drive business growth in the MENA region.

FanTV raises $3m in Series A funding 

UAE-based artificial intelligence-powered content platform FanTV has secured $3 million in a Series A funding round from Mysten Labs, Cypher Capital, CoinSwitch Ventures, and Illuminati Capital. 

The funding will support the company’s expansion efforts and the enhancement of its AI-driven tools for content creators. 

Founded in 2022 by Prashan Agarwal, FanTV operates as a Web 3.0 content platform that allows creators to upload and monetize content based on viewership. 

The company aims to scale its user base and technological capabilities globally.

MENA funding grows fivefold in Feb 

Investment in MENA startups surged nearly fivefold in February, reaching $494 million across 58 deals, according to Wamda. 

The sharp increase was driven by a shift from debt financing, which fell to 15 percent of total funding compared to 90 percent in January. Excluding debt, equity investments rose 371 percent month-on-month. 

Saudi Arabia led with $250.3 million across 25 deals, followed by the UAE with $203.5 million from 15 deals and Egypt with $27.5 million across eight transactions. Smaller investments were recorded in Oman, Morocco, and Jordan, as well as Tunisia, Bahrain, and Qatar. 

Fintech dominated with $274 million across 15 deals, followed by insurance tech with $55 million, and logistics with $28.5 million. 

Marketing tech, education tech, AI, and clean tech also saw significant funding. 

Later-stage rounds gained traction, with Tabby securing $160 million in Series E funding, Flow48 raising $69 million, and Applied AI closing $55 million. 

Despite the funding surge, gender disparity persisted, with female-founded startups receiving just $200k — 0.04 percent of total investment — while male-led ventures secured 86.7 percent of funding.

Topics: Start-up of the Week Aramco Ventures

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Closing Bell: Saudi indices end day in the red

Updated 21 April 2025
Nour El-Shaeri
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Closing Bell: Saudi indices end day in the red

Updated 21 April 2025
Nour El-Shaeri

RIYADH: Saudi Arabia’s stock market closed lower on Monday, with the Tadawul All Share Index falling 77.94 points, or 0.67 percent, to end the session at 11,548.66.

Total trading turnover stood at SR3.5 billion ($953.3 million), as 45 stocks advanced while 195 declined.

The Kingdom’s parallel market, Nomu, also closed in the red, shedding 340.41 points, or 1.17 percent, to finish at 28,637.78.

Of the listed stocks, 29 rose while 44 declined. The MSCI Tadawul Index dipped by 8.02 points, or 0.54 percent, closing at 1,466.51.

Alistithmar Capital REIT was the session’s top performer on the main index, jumping 9.92 percent to close at SR7.98.

Saudi Printing and Packaging Co. followed closely, gaining 9.86 percent to reach SR12.70. Nice One Beauty Digital Marketing Co. also saw notable gains, rising 4.78 percent to SR38.35, while Zamil Industrial Investment Co. climbed 3.92 percent to SR38.40.

On the other end of the spectrum, Dar Alarkan Real Estate Development Co. posted the steepest decline, falling 5.51 percent to SR22.30. Eastern Province Cement Co. dropped 4.48 percent to SR34.10, and Riyadh Cables Group Co. slid 4.26 percent to SR126.

National Gypsum Co. announced a 22.03 percent year-on-year increase in revenue for the fiscal year ending December 31, 2024, reporting SR63.32 million compared to SR51.89 million the previous year. Despite the rise in sales, the company posted a net loss of SR14.72 million, reversing a profit of SR5.13 million a year earlier.

The loss was attributed to higher sales costs and a decline in other income, including a SR10.7 million fine paid to the General Authority for Competition and the absence of land compensation income that had been recorded the prior year. Shares of National Gypsum Co. dropped 1.59 percent to settle at SR19.80.

Banque Saudi Fransi reported a 16.38 percent increase in net profit for the first quarter ending March 31, 2025, reaching SR1.34 billion compared to SR1.15 billion in the same quarter of the previous year.

The bank’s total operating income rose 13.17 percent year on year to SR2.64 billion, driven by increases in special commission income and trading income.

Net income growth was supported by an 8.1 percent rise in net special commission income, while operating expenses grew by 12.16 percent. Total comprehensive income more than doubled to SR1.92 billion, up 120.85 percent from the same period last year. The bank’s share price rose 0.92 percent to SR17.50.

Riyad Bank posted a 19.39 percent year-on-year increase in net profit for the first quarter of 2025, reaching SR2.49 billion compared to SR2.07 billion in the same period last year.

Total operating income grew 10.18 percent year on year to SR4.5 billion, while total comprehensive income increased by 23.62 percent to SR2.68 billion.

The bank attributed the rise in profitability to growth in net special commission income, trading income, exchange income, and net fee and commission income.

Operating expenses fell due to lower impairment charges for credit losses and other financial assets, though this was partially offset by higher employee and premises-related costs. Despite the strong earnings, Riyad Bank’s share price slipped 0.82 percent to SR30.15.

Topics: TASI NOMU MSCI

Davos meet founder Klaus Schwab quits as WEF chair

Updated 21 April 2025
Reuters
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Davos meet founder Klaus Schwab quits as WEF chair

Updated 21 April 2025
Reuters

ZURICH: Klaus Schwab, founder of the World Economic Forum, whose annual gathering of business and political leaders in the Swiss mountain resort of Davos became a symbol of globalization, has resigned as chair of its trustees.

The Geneva-based WEF made the announcement on Monday after revealing earlier this month that the 87-year-old Schwab, who for decades has been the face of the Davos get-together, would be stepping down, without giving a firm timeline.

“Following my recent announcement, and as I enter my 88th year, I have decided to step down from the position of Chair and as a member of the Board of Trustees, with immediate effect,” Schwab said in a statement released by the WEF.

The forum did not say why he was quitting.

The WEF board said in the statement it had accepted Schwab’s resignation at an extraordinary meeting on April 20, with Vice Chairman Peter Brabeck-Letmathe serving as interim chairman while the search for a new chair began.

The German-born Schwab established the WEF in 1971 with the aim of creating a forum for policymakers and top corporate executives to tackle major global issues.

The village of Davos gradually became a fixture on the international calendar in January when political leaders, CEOs and celebrities got together in discreet, neutral Switzerland to discuss the agenda for the coming year.

Topics: World Economic Forum Davos

Saudi Arabia, Algeria deepen economic ties with new business pacts

Updated 21 April 2025
MOHAMMED AL-KINANI
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Saudi Arabia, Algeria deepen economic ties with new business pacts

Updated 21 April 2025
MOHAMMED AL-KINANI

JEDDAH: Saudi Arabia and Algeria signed a series of agreements to boost trade and investment as officials and executives from both countries convened in Algiers for a high-level forum. 

The Saudi-Algerian Business Forum, held on April 20 in the Algerian capital, featured extensive discussions on enhancing bilateral economic cooperation across sectors including tourism, agriculture, construction, and manufacturing, the Saudi Press Agency reported. 

This comes as Saudi Arabia and Algeria maintain long-standing economic and diplomatic ties, anchored by their membership in the Arab League and OPEC. Trade between the two has steadily grown, with Saudi Arabia becoming a key supplier of industrial goods, petrochemicals, and plastics to Algeria. 

In a speech at the opening of the forum, Saudi Ambassador to Algeria Abdullah bin Nasser Al-Busairi described the economic meeting as a key driver for strengthening bilateral relations, highlighting the commitment of both countries’ leaderships to deepening ties across all sectors.

He pointed out that “the forum is an opportunity to discuss joint cooperation in light of the positive indicators witnessed by trade exchange between the Kingdom and Algeria, which amounts to nearly $1 billion,” SPA reported.  

Al-Busairi highlighted the notable growth of Saudi investments in Algeria, particularly in the pharmaceutical and food industries, “calling on Saudi investors to explore the opportunities available in the Algerian market, in light of the guarantees and benefits provided by the new investment law.”  

Al-Busairi expressed his confidence that “the bilateral meetings between Saudi and Algerian businessmen will result in practical initiatives that serve the interests of both countries and enhance the level of cooperation and partnership between them,” the SPA added. 

The chairman of the Saudi-Algerian Business Council, Raed bin Ahmed Al-Mazrou, emphasized that the time has come to elevate bilateral relations, particularly in the economic sector.  

He highlighted the strong support from the leaderships of both countries for this initiative and their commitment to strengthening and advancing it. 

He noted the investment opportunities offered by the Algerian market, the long-standing Saudi experience spanning more than five decades, and the openness of the Saudi market to initiatives by Algerian investors, in order to advance and enhance cooperation between the two countries.  

Kamel Moula, president of the Algerian Council for Economic Renewal, said the forum offers a valuable platform to establish successful ventures and exchange expertise, contributing to sustainable growth in both countries. 

He pointed to promising opportunities in sectors such as food manufacturing, iron and steel, tourism and entertainment, and information and communication technology. 

Topics: Saudi Arabia Algeria

Dubai inflation eases to 2.79% in March as housing, transport costs moderate

Updated 21 April 2025
Reem Walid
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Dubai inflation eases to 2.79% in March as housing, transport costs moderate

Updated 21 April 2025
Reem Walid

RIYADH: Dubai’s annual inflation rate eased in March, hitting its lowest level since October 2024, according to official data released by the Dubai Statistics Center.

The inflation rate in the emirate slowed to 2.79 percent in March, down from 3.15 percent in February. The decline was primarily driven by a deeper deflation in food and beverage prices, which dropped by 3.34 percent year-on-year, compared to a 0.85 percent decline in the previous month.

Dubai continues to report relatively moderate inflation compared to other major cities in the region. Analysts attribute this trend to the government’s proactive measures to maintain price stability while fostering economic growth.

Despite persistent global inflationary pressures, Dubai’s economy remains resilient, supported by a diverse mix of sectors including tourism, real estate, and trade.

Looking ahead, the UAE Central Bank has forecast nationwide inflation at 2 percent for 2025 —well below the global average. Non-tradable components of the consumer basket are expected to be the main contributors to price movements in the coming year.

The March data also pointed to continued deflation in other key categories. Food and beverage prices posted a monthly deflation rate of 0.31 percent, slightly higher than the 0.21 percent recorded in February.

Clothing and footwear prices declined 2.69 percent year on year, mirroring the previous month’s figures. Meanwhile, prices in the information and communication sector saw a 1.96 percent annual drop in March, compared to a 1.95 percent decline in February.

The data also showed a continued rise in prices within several key sectors. The housing, water, electricity, gas, and other fuels category recorded a 7.16 percent increase in March, slightly down from 7.36 percent in February.

The insurance and financial services sector experienced notable inflation as well, with prices rising 5.83 percent, up from 5.20 percent the previous month.

Price increases were also observed across health, education, and personal care, social protection, and miscellaneous goods and services. Health costs climbed 3.1 percent, education rose 2.76 percent, and personal care and related services increased 2.52 percent.

For comparison, September’s figures showed no change in health and education, while personal care had risen by 1.48 percent.

The tobacco sector registered a 2.12 percent year-on-year increase, unchanged from February. Meanwhile, prices in the recreation, sport, and culture category grew 1.66 percent, though at a slower pace compared to 3.93 percent in the previous month.

Additional monthly gains were recorded in insurance and financial services, which edged up 1.47 percent in March versus 1.41 percent in February. Prices for furnishings, household equipment, and routine maintenance rose 0.36 percent, matching the previous month’s rate. The restaurants and accommodation services category saw a 0.25 percent increase, down from 0.72 percent in February.

In a separate report published in December, FOREX.com, a subsidiary of US-based StoneX Group Inc., projected strong economic resilience for the UAE in 2025.

The outlook was supported by solid consumer spending, record-high foreign direct investment, and the nation’s ongoing economic diversification efforts, despite regional challenges.

Topics: Inflation

Saudi Arabia to drive Islamic finance growth in 2025, S&P says 

Updated 21 April 2025
Nirmal Narayanan 
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Saudi Arabia to drive Islamic finance growth in 2025, S&P says 

Updated 21 April 2025
Nirmal Narayanan 

RIYADH: Saudi Arabia is poised to play a key role in propelling the growth of the global Islamic finance industry in 2025, underpinned by non-oil economic expansion and robust sukuk issuance, according to a new analysis.  

The Kingdom’s banking system growth, supported by Vision 2030 initiatives, is expected to contribute significantly to the expansion of Islamic banking assets next year, S&P Global Ratings said in its latest outlook report. 

Saudi Arabia’s debt market has seen significant growth in recent years, attracting investors’ interest in debt instruments amid rising interest rates.  

“We expect economic growth in Saudi Arabia and the UAE will continue supporting Islamic banking asset expansion in 2025, barring any significant disruptions from global trade tensions or a further decline in oil prices,” said S&P Global.  

The report also noted that Vision 2030 “will continue to translate into significant banking system growth, provided it attracts sufficient refinancing sources, including sukuk issuances from the international capital market.” 

Earlier this month, Kuwait Financial Center, also known as Markaz, reported that the Kingdom led the Gulf Cooperation Council in primary bond and sukuk issuances during the first quarter, raising $31.01 billion from 41 offerings. That accounted for 60.2 percent of total GCC issuances during the period. 

S&P Global said the strong performance of the UAE’s non-oil economy, along with capital expenditure needs across various sectors, will continue to support financing requirements and sukuk issuances in 2025. 

The US-based agency added that the growth of the global Islamic finance market will also be supported by countries in the GCC, including Qatar, Bahrain and Oman, as well as by nations in the Asia-Pacific region such as Pakistan, Bangladesh and Indonesia. 

“The financing growth of Islamic banks will continue to outshine conventional banks’ credit growth, facilitating market share gains. However, this growth might be somewhat tempered by local currency volatility,” the report said.  

Resilient growth  

The global Islamic finance industry is expected to maintain its steady growth momentum in 2025, supported by financing needs linked to economic diversification efforts, according to S&P Global. 

The agency said strong performance in both banking and sukuk segments helped the industry grow 10.6 percent year-on-year in 2024, with total sukuk outstanding surpassing $1 trillion for the first time in November. 

Banking assets accounted for about 60 percent of the Islamic finance industry’s growth in 2024, up from 54 percent in the previous year. The GCC region was the primary driver, contributing 81 percent of that growth — two-thirds of which came from Saudi Arabia, the report showed. 

Islamic banking, also known as Islamic finance, refers to financial activities that comply with Shariah law. Sukuk, or Islamic bonds, are Shariah-compliant debt instruments through which investors gain partial ownership of an issuer’s assets until maturity. 

Commenting on the outlook, Mohamed Damak, head of Islamic Finance at S&P Global Ratings, said: “Financing needs driven by economic transformation programs will remain high, and the inherent preference for Islamic finance will persist. As a result, despite growing uncertainty, we expect the Islamic finance industry to grow in 2025.” 

According to S&P Global, oil prices are expected to average $65 per barrel for the remainder of 2025 and $70 per barrel in 2026, which could support growth in most core Islamic economies. 

The agency projected that global sukuk issuance is likely to reach between $190 billion and $200 billion in 2025, assuming current market volatility does not have a significant impact. Foreign currency-denominated issuance is expected to contribute $70 billion to $80 billion. 

The report also noted that global sukuk issuances declined slightly in 2024, totaling $193.4 billion compared to $197.8 billion in 2023. 

In a separate forecast made in January, Fitch Ratings said global sukuk issuances could reach $190 billion to $200 billion this year, driven by increased offerings in countries such as Saudi Arabia and Indonesia. 

S&P Global’s findings align with a separate analysis released by Moody’s in September, which projected that the profitability of Islamic banks in the GCC will remain strong over the next 12 to 18 months. Moody’s attributed this to stable oil prices, government-led economic diversification initiatives, and high levels of business confidence. 

In December, a report by Kamco Invest projected that Saudi Arabia will see the largest share of bond maturities in the GCC region between 2025 and 2029, totaling $168 billion. 

The latest report from S&P Global said sustainable sukuk issuance is expected to range between $10 billion and $12 billion in 2025, compared to $11.9 billion in 2024 and $11.4 billion in 2023. 

The issuance of sustainable sukuk will be supported by the Islamic finance guidelines introduced by the International Capital Market Association in April 2024, along with other regulatory initiatives. 

The guidelines allow a broader range of assets to be used as underlying assets for sukuk, provided the proceeds are invested in green or social assets and projects. This added flexibility is aimed at addressing the shortage of sustainable assets in the Islamic finance space. 

In 2024, Saudi Arabia accounted for 38 percent of total sukuk issuances. 

However, the volume of sustainable sukuk issuance in the UAE declined by 60 percent in 2024 compared to the previous year. 

“We anticipate an increase in sustainable sukuk issuance when GCC issuers implement climate transition plans more quickly and make progress toward renewable energy targets, particularly if regulators offer incentives for sustainable issuances,” said the report.  

Potential challenges 

In the report, S&P Global also highlighted several challenges that could affect the global Islamic finance industry, including a potential decline in crude oil prices and the adoption of the draft Shariah Standard 62. 

In late 2023, the Accounting and Auditing Organization for Islamic Financial Institutions released an exposure draft of Shariah Standard 62 on sukuk. 

The proposed guidelines address a range of market elements, including Shariah requirements for issuances, asset backing and ownership transfer, investment and financing structures, as well as trading and settlement procedures. 

“Adopting Sharia Standard 62 could disrupt the sukuk market from 2026 by potentially reclassifying the instruments from debt-like to equity-like. But the extent of this will depend on whether the standard is approved, its content, and when it will be implemented,” said S&P Global.  

It added: “If Standard 62 is adopted as proposed, we anticipate the industry could become more fragmented and less attractive to investors and issuers due to higher sukuk pricing for issuers and fewer fixed-income investors.”  

In January, Fitch Ratings echoed similar views, noting that the adoption of AAOIFI guidelines could alter the structure of the sukuk market and potentially lead to increased fragmentation.

Topics: S&P Global Sukuk Islamic finance

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