Simplified Financial Solutions Co., a Saudi Arabian fintech venture, has successfully completed a seed funding round, raising a substantial $10 million. The round was spearheaded by Sanabil Investments, owned by the Public Investment Fund, alongside RAED Ventures.
Support also came from a diverse group of investors including anb seed, Rua Ventures, Byld, and KBW Ventures, as well as returning investors Khwarizmi Ventures, Seedra Ventures, and Tech Invest Com.
Launched in 2021 by founder Ahmed Al-Hakbani, SiFi has introduced a pioneering business-to-business spending management platform. This platform provides cutting-edge smart corporate cards, instantaneous corporate spending insights, and streamlined expense management workflows.
CEO Al-Hakbani expressed excitement over the successful funding, emphasizing the opportunity it presents to bolster their services, deliver superior customer value, and secure their status as the premier spending management solution in Saudi Arabia.
Al-Hakbani further elaborated on SiFi’s mission to empower company stakeholders with timely, informed decision-making capabilities while equipping finance teams with robust tools to effectively implement spending policies, thereby fostering decentralized spending control and growth.
The infusion of funds is set to enhance SiFi’s offerings and solidify its leadership in the Saudi market.
Sanabil Investments was drawn to SiFi due to its exceptional team, compelling product, and the untapped potential in Saudi Arabia’s market for efficient financial management tools. The investment firm looks forward to aiding SiFi’s growth and market capture.
MENA startup investment surges in May 2024
May saw a dramatic increase in investments within the Middle East and North Africa (MENA) region, with 40 startups raising $282 million, marking a 413 percent increase from April’s $55 million, according to Wamda’s monthly report.
Debt financing played a significant role, representing about $140 million of the total raised. However, year-on-year figures indicate a 58 percent decrease from the $445 million raised in May 2023 across 39 deals.
The UAE’s Property Finder spearheaded this investment wave with a $90 million debt round, followed by Huspy and Keyper at $37 million and $34 million respectively, with Keyper incorporating $30 million in debt financing.
UAE-based startups dominated the funding landscape, securing $189 million across 23 deals. Saudi and Egyptian startups followed suit, with the former amassing $56 million over 10 deals, and the latter securing $24.5 million across four deals, including OneOrder’s $16 million Series A round.
The proptech sector emerged as the top beneficiary, raising $167.2 million over seven rounds. Fintech and logistics sectors were not far behind, securing $32.7 million and $25.3 million respectively.
Agritech and software as a service (SaaS) sectors showed signs of revival, with notable funding rounds in May. The venture capital scene in MENA emphasized later-stage funding, with series A and pre-series A rounds attracting substantial investments. Conversely, seed stage deals led in quantity with seven transactions totaling $11 million.
The UAE’s GrubTech closed a notable series B round at $15 million, while Merit, a Saudi SaaS startup, raised $12 million in a pre-series B round. A sizable portion of the funds raised remained undisclosed in terms of stage rounds.
Business-to-consumer startups constituted the majority of funding activities, while B2B startups also secured a significant share. Male founders continued to lead in secured investments, although deals involving male and female co-founders witnessed an uptick, doubling from the previous month.
The MENA venture capital market saw the launch of several new funds, with noteworthy contributions from BIM Ventures, TVM Capital Healthcare, Riyad Capital, and Saudi Venture Capital, amongst others. Bahrain’s Investcorp and other international entities also announced substantial funds aimed at supporting the startup ecosystem.
In a notable move, Saudi Arabia’s Kingdom Holding invested in Elon Musk’s AI startup xAI during its Series B funding round.
UAE-based AI startup qeen.ai secures $2.2m pre-seed funding
UAE’s qeen.ai has successfully completed a pre-seed funding round, amassing $2.2 million. The round was led by Wamda Capital, with contributions from a range of international and regional investors.
Launched in 2023, qeen.ai is on a mission to revolutionize e-commerce through accessible, autonomous AI solutions. Wamda Capital’s CEO Fadi Ghandour, also the founder of Aramex, expressed enthusiasm for qeen.ai’s potential to drive substantial growth and success in the e-commerce sector, leveraging the founding team’s expertise in AI and in-depth knowledge of e-commerce challenges.
The funds will be directed towards qeen.ai’s goal of simplifying intelligent commerce, making AI more accessible and user-friendly for businesses of any size.
Fintech company Elevate secures $5m in pre-series A funding
Elevate, a fintech company based in London and Dubai, has raised $5 million in a pre-series A funding round.
Founded in 2021 by a team of entrepreneurs, Elevate offers debit cards tailored for online transactions and provides standard foreign currency exchange rates for domestic money transfers, with a fixed fee for transferring money back to local accounts.
Targeting freelancers, Elevate strives to solve common financial challenges by facilitating seamless payments from various employers and major freelancing platforms. Having attracted a significant user base, Elevate plans to expand its services into the Middle East and Africa with the newly secured funds.
