Entlaq, a prominent Egyptian entrepreneurship support company, has acquired a stake in Brotinni, a leading local foodtech startup. The undisclosed investment aligns with Entlaq's strategy of promoting innovation and technological advancements in the food sector.

Founded in 2020 by Dalia Abu Omar, Brotinni operates as a dark store, offering customers the convenience of buying meat and poultry products online. The new partnership will enable Brotinni to expand its operations both within Egypt and in other regional markets.

Leveraging Entlaq's Expertise

Brotinni will benefit from Entlaq's extensive experience in business development and acceleration. This collaboration will help Brotinni enhance its market reach, particularly in the meat and poultry sectors, and strengthen its position as a leading player in the foodtech industry.

Innovative Solutions

Brotinni's commitment to innovation is evident in its use of industrial biotechnology and environmentally friendly green technologies. By integrating advanced technologies into its logistics and supply chains, Brotinni aims to reduce its environmental impact while ensuring the sustainability of its food products.

Previous Funding

In 2022, Brotinni successfully raised a $600,000 seed round led by Innlife investments. This previous funding provided the company with valuable resources to fuel its growth and development.

A Promising Partnership

The partnership between Entlaq and Brotinni is expected to have a positive impact on both companies. By combining Entlaq's expertise with Brotinni's innovative solutions, the collaboration has the potential to drive growth and innovation in the Egyptian foodtech sector.

Egypt-based B2B e-commerce platform Cartona has successfully raised an additional $8.1 million in Series A extension funding, led by Algebra Ventures.

The investment, a combination of $5.6 million in equity and $2.5 million in debt, marks a significant milestone for the company as it accelerates its mission to digitize Egypt's traditional trade market.

Founded in 2019, Cartona has rapidly grown to connect over 188,000 retailers across 17 Egyptian cities with FMCG producers, wholesalers, and distributors.

The platform's innovative approach has disrupted the traditional supply chain by offering a digital marketplace that streamlines operations, improves efficiency, and enhances profitability for all stakeholders.

The newly acquired capital will fuel Cartona's expansion plans, enabling the company to solidify its position in the Egyptian market, explore new opportunities in the MENA region, and potentially venture into B2B2C services.

By investing in product development, marketing, and talent acquisition, Cartona aims to further enhance its platform's capabilities and deliver exceptional value to its customers.

A key differentiator for Cartona is its asset-light business model, which has allowed the company to achieve impressive growth while maintaining a lean cost structure.

This financial prudence has been particularly advantageous in navigating the challenges posed by inflationary pressures. Moreover, Cartona's commitment to financial inclusion is evident in its efforts to provide small retailers with access to credit and working capital through its platform.

Algebra Ventures, a leading Egyptian venture capital firm, expressed confidence in Cartona's potential to revolutionize the retail industry. Omar Khashaba, General Partner at Algebra Ventures, highlighted the company's strong financial performance, capital efficiency, and ability to adapt to market challenges.

The investment firm believes that Cartona's innovative approach and experienced leadership team position it for long-term success.

As Cartona continues to scale its operations and expand its reach, the company is poised to become a driving force in the transformation of Egypt's retail landscape.

By empowering retailers and suppliers with cutting-edge technology and financial solutions, Cartona is creating a more efficient, sustainable, and inclusive ecosystem for the entire industry.

Egyptian EdTech startup El Kheta has received a significant investment of $400,000 from EdVentures, the venture capital arm of Nahdet Misr Group.

This funding strengthens El Kheta's position in the Egyptian education landscape, allowing them to expand their reach and personalize learning experiences for students across the country.

Founded in 2019, El Kheta's platform provides a unique and flexible learning environment. Students can tailor their curriculum by selecting specific subjects or areas they want to focus on.

This approach caters to individual learning styles and allows students to create personalized study plans that address their academic strengths and weaknesses. El Kheta's comprehensive resources go beyond just textbooks.

They offer reinforcement lessons to solidify understanding of complex topics, along with practice exams aligned with the latest Egyptian curriculum.

Interactive educational videos and engaging homework assignments further enhance the learning experience. Additionally, the platform facilitates direct communication between students and teachers, enabling personalized support and guidance.

EdVentures, the Middle East's first venture capital firm dedicated solely to EdTech, recognizes the transformative potential of El Kheta's approach.

This investment aligns with EdVentures' mission to empower educational technology in Egypt and the Arab region. By supporting El Kheta, they aim to bridge the gap in access to quality education and create a more inclusive learning environment for students in Egypt.

Dalia Ibrahim, Founder and Chairwoman of Nahdet Misr for Entrepreneurship EdVentures, expressed her enthusiasm about the partnership. She believes El Kheta's innovative platform has the potential to revolutionize online education in Egypt, particularly for school students.

EdVentures is committed to supporting El Kheta's vision of creating a better and easier learning experience for all students. This collaboration between EdVentures and El Kheta signifies a positive step towards achieving greater educational equity and fostering a new era of personalized learning in Egypt.

US-based Egyptian fintech MoneyHash has raised a $4.5 million Seed funding round, co-led by COTU Ventures and Sukna Ventures, with participation from RZM Investment, Dubai Future District Fund (DFDF), VentureFriends, and angel investors.

Founded in late 2020 by Nader Abdelrazik, Mustafa Eid and Anisha Sekar, MoneyHash is a payment orchestration that offers a comprehensive payment operating system as a service to address the various technological and product challenges faced by enterprise merchants.

In 2022, MoneyHash raised a $3 million pre-seed round.

The new funds will be used to expand the business team and growth capabilities while maintaining technological progress.

Press release:

We are thrilled to announce that MoneyHash, the first and leading payment orchestration platform in the Middle East and Africa (MEA), has successfully raised $4.5 million in a seed funding round. The round was co-led by COTU Ventures and Sukna Ventures, with participation from RZM Investment, Dubai Future District Fund, VentureFriends, and a group of strategic investors and operators.

Despite the significant slowdown in market activity, this investment illustrates the market’s confidence in MoneyHash and its potential for continued growth and market leadership. MoneyHash's proprietary payment orchestration platform and end-to-end payment operating system have garnered acclaim for their innovative approach to streamlining payment processes, making it the top choice for businesses seeking efficient and scalable payment infrastructure. This funding will enable MoneyHash to further invest in its technology and expand its business growth initiatives across the region.

Addressing Challenges in The MEA Payments Landscape

The payment landscape in the MEA is highly fragmented. Each country has tens of payment providers and methods, developing payment regulations, limited economic integration with other markets, and a diverse set of customer preferences and market dynamics.

The complexity of the ecosystem is compounded by the region's susceptibility to payment fraud, low checkout conversion rates, and increased transaction failures. "COVID certainly boosted the adoption of digital payments in the region, but the infrastructure remains significantly underdeveloped. In MEA, payment failure rates are three times the global average, and fraud rates and cart abandonment are over 20% higher than in all other regions. This places merchants in a challenging position, viewing payments as a cost and risk center rather than a strategic enabler," says Nader Abdelrazik, co-founder and CEO of MoneyHash.

Abdelrazik adds, "However, the opportunity is enormous. MEA's trillions of dollars in payments are still less than 10% digital, suggesting the region will experience the most growth over the next decade. Merchants who navigate the complex payment ecosystem effectively will reap significant benefits. This is where MoneyHash steps in."

Empowering MEA With a Full Suite of Payment Capabilities

MoneyHash offers a comprehensive payment operating system as a service to address the various technological and product challenges faced by enterprise merchants. Elena Panchenko, the Chief Product Officer of MoneyHash, emphasizes, “Payment challenges are intertwined. Rather than merchants juggling between solutions and in-house fixes, we offer a versatile suite to address current and future challenges simultaneously.”

MoneyHash's product includes a unified API to integrate pay-in and pay-out rails, a fully customizable checkout experience, transaction routing capabilities with fraud and failure rate optimizers, and a centralised transaction reporting hub. This is complemented by tools enabling various use cases, such as virtual wallets, subscription management, and payment links.

Elena adds, “An integrated set of solutions is essential for enterprise merchants to address challenges comprehensively and explore opportunities freely. The infrastructure is powered by over 200 pre-integrated APIs with payment service providers and payment methods across 80+ markets. This not only offers merchants maximum flexibility and coverage but also helps us gain the trust of our customers, knowing that all scenarios and implementations fall within our expertise.”

MoneyHash products promise a 10-20% increase in revenue generation and a 90% decrease in development costs.

MoneyHash Progress & Future Plans

MoneyHash was established in early 2021 by Nader Abdelrazik and Mustafa Eid, two Egyptian technologists with extensive backgrounds in fintech and enterprise software. After a successful BETA launch in 2022, which attracted key players in the region such as Foodics, Rain, and Tamatem, MoneyHash launched its enterprise suite last October, targeting large enterprises.

In 2023, MoneyHash doubled its network of integrations, achieved triple revenue, and grew its processing volume by 30x. It also landed large enterprise customers shortly after its October launch.

Amir Farha, Managing Partner at COTU, stated, “We firmly believe that the full potential of digital payments in MEA is yet to be realized. MoneyHash has developed a sophisticated and high-quality platform that can catalyze the growth of digital payments across the region, enabling both global and local merchants to tap into new revenue streams.

We are thrilled to renew our support for a team that has consistently demonstrated superior execution, not just in securing top mid-market and enterprise customers, but also in expanding value across the entire chain, even under challenging market conditions.”

Asher Siddiqui, General Partner at Sukna Ventures, expressed, “In the rapid digital transformation of the region, part of Sukna’s fundamental thesis is to back exceptional teams that are pioneering transformative infrastructures in specialized sectors. The team at MoneyHash embodies this vision, consisting of skilled payment operators who have leveraged their expertise to establish a competitive edge, prioritizing engineering precision above all else. Their product, refined with precision and supported by a stellar team, is exceptionally well-positioned to lead the market and define the future of digital payments in the region.”

This round marks the first Middle Eastern investment by Tom Preston-Werner, GitHub's founder and early Stripe investor, highlighting his belief in MoneyHash's product quality and its ability to solve critical customer issues. MoneyHash announced his participation in an earlier press release.

MoneyHash, headquartered in NYC with 30 team members across 9 countries globally, previously raised a $3 million pre-seed round in 2021. The new funds will primarily be used to expand the business team and growth capabilities while maintaining technological progress.

Source: Wamda

The meeting discussed the efforts to prepare the cooperation programme between Egypt and Switzerland for 2025-2028

Rania A. Al-Mashat, the Minister of International Cooperation and Egypt’s Governor at the Swiss Agency for Development and Cooperation, met with Patricia Danzi, the Director General of the Swiss Agency for Development and Cooperation, and Maya Tesavi, the Head of the Middle East and North Africa Department at the Swiss Ministry of Foreign Affairs, today. The meeting was attended by Yvonne Baumann, the Swiss Ambassador to Egypt, and officials from the Swiss Embassy and the Ministries of Foreign Affairs and International Cooperation.

The meeting discussed the efforts to prepare the cooperation programme between Egypt and Switzerland for 2025-2028, which will follow the current Swiss cooperation programme from 2021-2024, covering governance, human rights, green growth, youth skills development, protection issues, and migration.

Al-Mashat emphasized the importance of the Egyptian-Swiss economic cooperation relations and the Egyptian government’s keenness to strengthen this partnership and expand it to serve the national development agenda and the implementation of development priorities in various fields.

She also reviewed the cooperation with the institutions of the Team Europe Initiative from 2020-2023 and the preparation for the future period of joint work, referring to the comprehensive report on the Egyptian development cooperation relations under the title “Egypt & Team Europe: A Shared Development Vision for Progress and Prosperity.”

She added that Egyptian-European relations are developing within a framework of integration and partnership that meets the development requirements following the national development priorities and determinants.

She explained that the projects within the NWFE programme, a nexus of water, food and energy projects, achieve many goals, such as advancing towards comprehensive development in various parts of Egypt, diversifying between mitigation and adaptation projects to cope with climate change, implementing water desalination projects, supporting the capabilities of small farmers to adapt to climate change, increasing agricultural crop productivity and farmers’ incomes through the use of modern technology and clean energy, and benefiting from innovative financing tools to mobilize investments worth $14.7bn.

Patricia Danzi, the Director General of the Swiss Agency for Development and Cooperation, stated, “In November 2023, Switzerland disbursed an additional $102m in response to the humanitarian crisis in the Gaza Strip and the region, which will address basic humanitarian needs such as water, food and medical care.”

Source: Zawya

The Middle East and North Africa region saw sizable startup activity from its top three regional ecosystems of Saudi Arabia, UAE, and Egypt as January came to end.

The Kingdom led this weeks’ movement with two startups raising significant funding sums. Saudi Arabia’s peer-to-peer car rental platform Ejaro secured SR12.3 million ($3.27 million) in a pre-series A funding round spearheaded by the Riyadh-based insurance company Tawuniya and several angel investors.

This fresh influx of capital is earmarked for bolstering Ejaro’s development and expansion strategies.

Founded in 2019 by Mohammed Khashoggi, the company provides car-sharing services to enable individuals to generate additional sources of income.

“Completing this funding round alongside our strategic partnerships reflects our commitment to innovation and meeting the needs of our customers. We are not only working to change the concept of car sharing in the Kingdom but also striving to be leaders in the insurance sector through cooperation with Tawuniya, Najm, and Absher, a pivotal step towards supporting economic growth and innovation in line with Saudi Vision 2030,” Khashoggi said.

Fahad bin Maamar, CEO of Investments at Tawuniya, underscored their confidence in Ejaro’s innovative approach to car-sharing, viewing it as a crucial partner in transforming the mobility landscape across the Gulf Cooperation Council region.

The platform claims to have facilitated over 25,000 days of trips, indicating a growing demand for its services. Moreover, it has enabled more than 100 hosts to collectively earn over SR2.5 million in less than two years, showcasing the tangible benefits and impact of its innovative car-sharing and rental solutions.

Saudi edtech startup iStoria secures $1.3m in funding

Saudi Arabia’s educational technology sector continues to garner investor interest as iStoria secured SR5 million in a seed funding round.

This investment in the app, which specializes in English language learning, involved multiple regional players, including Saudi Arabia’s venture capital firms Nama Ventures and BIM Ventures, US-based edtech Classera, Egypt-based Flat6Labs, and various angel investors.

The investment will enable the enhancement of the app’s features and aid in expanding its global footprint.

Founded by Abdullah Al-Jaberi in 2022, iStoria has quickly gained a substantial user base, surpassing 1 million learners globally.

The company’s approach to English language education focuses on vocabulary building through reading stories at various levels, with comprehension questions and vocabulary tests.

This method prepares learners for global language tests and offers a continually updated and enriching learning experience. The company also achieved a satisfaction rate of 4.6 out of five in the app store. Its recent growth has been bolstered by expanding its services to organizations, including contracts with numerous private and public schools, where it has been integrated into educational curriculums, allowing for direct supervision.

“We are pleased with the conclusion of this investment round. Through this funding, we will continue to pursue our goal of enabling individuals to communicate effectively and confidently in English,” Al-Jaberi said.

He added: “We are optimistic and look forward to the next phase of the application’s growth and the impact we can create, primarily through offering services to organizations and expanding worldwide.”

The company also raised an undisclosed pre-seed funding round from Nama Ventures in 2022 to bolster its operations.

The edtech sector has emerged as one of the top five most-funded sectors in Saudi Arabia. In 2023, the industry saw a total of $50 million raised by Saudi-based startups, a 6 percent growth from the year before. Furthermore, in 2022, the sector witnessed substantial growth, surging by 2,069 percent compared to the previous year.

Egypt’s Roboost raises $3m to boost expansion

Egypt’s artificial intelligence-driven logistics startup, Roboost, completed a $3 million investment round led by Silicon Badia, with contributions from RZM Investment, Flat6Labs, and Saudi Angel Investors.

Founded in 2018 by Mohamed Gessraha, Hassan Gessraha and Mohamed Sadek, Roboost provides AI-powered delivery solutions in Egypt, Saudi Arabia, Kuwait, Morocco, and Tunisia.

The company aims to utilize its capital to further boost its regional presence with a new phase of expansion. The company currently serves leading brands such as McDonald’s Egypt and Kuwait, Buffalo Burger, El Ezaby Pharmacies, and Jumlaty.

Employing proprietary machine learning algorithms, Roboost’s innovation includes pre-delivery technology that enables precision auto-dispatching and smart routes for delivery personnel, optimizing the process for the substantial portion of orders placed offline.

The platform’s suite of tools also features real-time dynamic fleet payroll, and comprehensive customer insights through heat maps and analytics, all aimed at enhancing customer satisfaction. Additionally, Roboost’s AI fleet control offers advanced fraud detection capabilities.

The company claims to provide operational efficiency to its clients with a network of over 15,000 delivery drivers, serving nearly 10 million unique customers, and automating more than 40 million orders. The company says its solutions have doubled delivery speeds by reducing inefficiencies and achieved task automation rates of 99.8 percent.

Furthermore, Roboost has succeeded in decreasing order returns by over 80 percent and operational costs by 30 percent, while also improving average driver productivity by 40 percent and maintaining fraud levels below 5 percent.

UAE’s Plant & Equipment acquires Global Equipment Trading

UAE-based construction technology company Plant & Equipment has announced the acquisition of Global Equipment Trading for an undisclosed amount. 

Established in 2018 by Saleh Kuba and Zayd Kuba, Plant & Equipment operates as a marketplace in the construction equipment and machinery sector, facilitating connections between buyers and sellers.

This strategic acquisition is set to bolster Plant & Equipment’s expansion efforts across the region.

 The integration with Global Equipment Trading is expected to enhance the company’s service offerings and market reach, aligning with its growth objectives in the construction equipment industry.

Source: Arab News

In today's fast-paced world, the pharmaceutical industry is constantly evolving to meet the growing demands of consumers. Yodawy, a leading player in the pharmaceutical technology sector, has been making waves with its innovative approach to revolutionizing the way people access and purchase medication. In this article, we will delve into the unique features and benefits of Yodawy's platform, and explore how it is reshaping the landscape of the pharmaceutical industry.

Understanding Yodawy's Vision

Yodawy's vision is centered around providing a seamless and convenient experience for both patients and pharmacies. By leveraging cutting-edge technology, Yodawy has created a platform that connects patients with nearby pharmacies, allowing them to easily order and receive their medications. This not only streamlines the process of obtaining essential medication but also ensures timely access to healthcare products.

The Power of Digital Transformation

Yodawy's platform harnesses the power of digital transformation to simplify the entire pharmaceutical journey. Through the use of intuitive mobile applications and user-friendly interfaces, Yodawy has successfully bridged the gap between patients and pharmacies. This digital approach not only enhances accessibility but also promotes transparency and efficiency within the pharmaceutical supply chain.

Enhancing Patient Experience

One of the key advantages of Yodawy's platform is its focus on enhancing the overall patient experience. By offering a wide range of medications and healthcare products, Yodawy ensures that patients have access to a diverse selection of options. Moreover, the platform provides valuable information about medications, empowering patients to make informed decisions about their healthcare needs.

Empowering Pharmacies

Yodawy's impact extends beyond the realm of patient care, as it also empowers pharmacies to optimize their operations. Through Yodawy's platform, pharmacies can efficiently manage inventory, process orders, and engage with a broader customer base. This not only drives business growth but also fosters stronger connections between pharmacies and the communities they serve.

The Future of Healthcare Accessibility

As the healthcare landscape continues to evolve, Yodawy stands at the forefront of driving accessibility and convenience in the pharmaceutical industry. By embracing innovation and leveraging technology, Yodawy is paving the way for a future where accessing essential medications is simpler, faster, and more efficient.

In conclusion, Yodawy's innovative approach to pharmaceutical technology is reshaping the industry by prioritizing accessibility, transparency, and efficiency. As the demand for seamless healthcare solutions continues to rise, Yodawy's platform is poised to lead the way in transforming the pharmaceutical experience for patients and pharmacies alike.

Egypt-based healthtech Almouneer has raised a $3.6 million Seed round, led by Global Ventures, Proparco and Digital Africa through the Bridge Fund (FRA), Wrightwood Investments (UK) - and other international funds.

Founded in 2017 by Noha Khater and Rania Kadry, Almouneer is a digital transformation platform to serve patients with chronic diseases.

Proceeds to further develop DRU - Almouneer’s patient-centric platform - treating pre-diabetes, diabetes and obesity.

Press release:

Almouneer, the leading digital transformation platform revolutionising healthcare for patients and doctors across the Middle East and Africa (MEA), announces its seed round fundraise of US$3.6 million.

The seed round was led by Dubai-based Global Ventures, with participation from other renowned international investors: Proparco and Digital Africa, through the Bridge Fund, Wrightwood Investments - the family office of Diane & Henry Engelhardt (UK) - and other leading international funds.

The fundraise follows rapid growth for Almouneer as it serves over 120,000 patients, with business volumes having doubled in the last year and its leadership team boosted with several key hires.

The proceeds will primarily support the development and expansion of DRU - MEA's first patient-centric, digitally-enabled lifestyle and diabetes management platform. DRU aids in the prevention and management of diabetes, pre-diabetes, and obesity - and will serve millions in Egypt and MEA. The scalable platform uses cutting-edge patient and doctor-facing applications and an extensive provider network.

Proceeds will enhance DRU’s state-of-the-art technology further and grow its wider provider ecosystem (doctors / health coaches / labs / nutritionists). Almouneer will also build MEA’s first online, patient-customized treatment plans. DRU currently connects to Continuous Glucose Monitors and other glucometers and will soon enable connection to wearables such as smart watches.

2024 is set to be a year of important milestones. In Q1, Almouneer will launch its DRU app for doctors - connecting healthcare providers with millions of patients. The company’s strategy is to expand regionally and internationally - with market entries to Saudi Arabia, the U.A.E., and African countries including Nigeria and Kenya - anticipated by next year.

The MEA region has very high levels of obesity and prediabetes - affecting over 40% of its population - making Almouneer and DRU’s mission to empower patients and healthcare professionals more critical than ever. Egypt has 15 million diabetics alone (20% of adults) with KSA having 7 million (30% of adults). Adding those suffering from pre-diabetes and obesity makes the problem even more endemic yet is largely preventable by lifestyle management and monitoring.

Noha Khater, co-founder and CEO of Almouneer, said: “We are very excited to be announcing this round—an important achievement and milestone in our journey.

Over the past year, we managed to grow our team and successfully build DRU. This round will now catapult us into the next phase of our business, helping us grow our team and talent further, invest in our technology, and broaden DRU’s provider network—inching us even closer to our vision.

And as we do, we’d like to extend our deepest gratitude to our investors—Noor Sweid and Said Murad from Global Ventures, Henry Engelhardt of Wrightwood Investments, and Proparco—for their belief in us and in our mission. We also wouldn’t be here today had it not been for the unwavering support and championing of Cartier Women’s Initiative, INSEAD, Endeavor and our friends at Alliance Law Firm."

Noor Sweid, Founder and Managing Partner of Global Ventures, commented: “We are thrilled to welcome Almouneer to the Global Ventures portfolio and lead the company's seed round.

Over the years, we have had the privilege of working with a stellar group of healthcare entrepreneurs who are materially improving the lives of patients worldwide, enhancing access, quality and cost of care. Noha and Rania are now part of this group. We are excited to work alongside them as they leverage their specialized expertise across business-building and chronic care to tackle a prevalent health issue across the Middle East and Africa.

On its mission to become the lifelong companion of diabetic patients in the region, Almouneer is a unique and necessary innovation.”

Henry Engelhardt, of Wrightwood Investments, commented: "The work Almouneer does is truly valuable to the ever-growing diabetic community in Egypt and beyond.

Noha Khater and Rania Kadry, its two leaders, are truly exceptional, talented people, driven to make a positive difference to so many people’s lives. Wrightwood Investments [the family office of Diane & Henry Engelhardt] is proud to be an investor and part of the Almouneer family.”

Fabrice Perez, Head of VC Division at Proparco, said: “Almouneer is dedicated to fostering innovation and industry disruption through its array of digital services for patients and clinic networks. This objective strongly aligns with the goals of both Proparco and Digital Africa.”

Babacar Seck, CEO of Digital Africa, commented: “Digital Africa welcomes Almouneer to the Bridge Fund portfolio with great enthusiasm, as we are investing in a strategic, high-impact sector. We are delighted to contribute to Noha and her teams, and behind them all the patients for who Almouneer simplifies life.”

Source: Wamda

Startups experienced a strong comeback in May, in terms of the funding they received. The total amount acquired by startups in the Middle East and North Africa exceeded $445 million, marking a year-on-year increase of approximately 153%. In comparison to the previous month, the increase was significant, reaching over 6257%. It is worth noting that April was one of the worst months in terms of startup funding in years, with the total amount obtained by startups not exceeding $7 million.

Regarding the number of deals, there were 39 deals in May, compared to 11 deals on a monthly basis, representing a 7% decrease on an annual basis.

Distribution of startup funding by country:

Startups in the United Arab Emirates (UAE) secured the largest share of startup funding in May, with a total amount of around $422 million distributed among 14 deals, accounting for 90% of the total funding. This was largely driven by the success of the startup "Tabby" (Buy Now, Pay Later), which alone secured funding of $350 million. Qatari startups ranked second for the first time, with a total amount of approximately $12 million obtained through one deal, which was the funding for the comprehensive delivery and online shopping application "Snoonu."

Saudi Arabian startups secured funding of around $6 million, ranking second in terms of total funding. However, in terms of the number of deals, Saudi startups ranked first with 15 companies receiving deals. This was due to the graduation of seven Saudi startups from the Flat6labs business accelerator program in Riyadh. It is expected that Saudi startups will dominate the list of companies receiving funding deals in June, following the graduation of 20 Saudi startups from the Saudi Arabian "Misk Accelerator" program. Egyptian startups witnessed a decline in both funding and the number of deals, with the total funding not exceeding $1 million and only four deals. Egyptian startups ranked third, behind the UAE with 14 deals.

Distribution of funding by sectors:

Thanks to the aforementioned "Tabby" deal, the financial technology sector received the majority of startup funding, with a total of over $388 million obtained in May, accounting for around 87% of the total startup funding.

The e-commerce sector ranked second, with a total funding of $30 million, largely driven by a funding round for the startup "Sqwatt Wolf" which secured $30 million. The comprehensive application sector followed with $12 million, while the online job market sector ranked fourth with approximately $5 million. The healthcare technology sector secured funding of $3.5 million, ranking fifth.

In terms of the number of deals, the financial technology sector also took the lead with 10 deals, followed by the healthcare technology sector with six deals. The online job market sector came next with five deals. The remaining deals were distributed among other sectors, with one or two deals in each sector, including the comprehensive application sector, which had only one deal, namely the Qatari application "Snoonu."

It is worth mentioning that excluding the debt funding obtained by "Tabby" ($350 million), the total startup funding in the Middle East and North Africa amounted to $95 million. The UAE startups accounted for approximately $71 million of this amount.

The figures for startup funding and the number of deals in May indicate a recovery for startups from the exceptional recession they experienced in June. However, the fact that debt funding accounted for 78% of the total funding suggests a partial recovery, especially considering the modest size of funding for Egyptian and Saudi startups.

Egypt’s marketplace for trucks, Trella, has raised $3.5 million from newly-launched private equity fund Avanz Capital Egypt.

The Avanz Capital fund, launched in 2022, is a subsidiary of Squared Capital International, and manages a couple of funds, one focuses on investing in startups and SMEs and the other is aimed at supporting low-carbon projects.

Trella was founded in 2018 by Omar Hagrass, Ali El Atrash, Pierre Saad and Muhammad El Garem. It connects shippers with trucks in real time.

Besides Egypt, it says it also has operations in Saudi Arabia and Pakistan.

Last year, Trella also secured $6 million in debt funding from ALMA Sustainable Finance (ALMA) and the US International Development Finance Corporation (DFC).

Avanz Capital Egypt, a subsidiary of I Squared Capital International, is making significant strides in expanding its investment portfolio with a multi-faceted approach. The company has recently announced its support for the logistics startup, Trella, alongside the launch of two new funds and a commitment to investing in existing funds and companies.

Avanz Capital Egypt has strategically invested approximately $3.5 million in Trella, a promising logistics startup operating in the field of logistics services. This investment not only demonstrates Avanz Capital Egypt’s confidence in Trella’s potential but also establishes the company as a key player in the flourishing logistics sector. With this partnership, Avanz Capital Egypt aims to leverage Trella’s innovative solutions and contribute to the growth and success of the logistics industry.

In addition to backing Trella, Avanz Capital Egypt is launching two new funds, further diversifying its investment portfolio. The first fund focuses on supporting small and medium enterprises (SMEs), aiming to provide much-needed capital and resources to fuel their growth. By nurturing these enterprises, Avanz Capital Egypt aims to contribute to the overall development and expansion of the Egyptian market. The first closing of Avanz Manara Fund in March collected financial obligations of approximately 905 million pounds, with about 25% of the amount already paid.

The second fund sets its sights on low-carbon projects, intending to issue “carbon credits” under the name “EGYCOP.” With an initial target of raising one billion pounds, this fund emphasizes Avanz Capital Egypt’s commitment to sustainable investments and the transition to a greener economy. By capitalizing on opportunities in the low-carbon sector, Avanz Capital Egypt seeks to drive positive environmental impact while generating attractive returns for investors.

Beyond the launch of new funds, Avanz Capital Egypt is actively exploring opportunities to invest in existing funds and companies. The company aims to identify potential investments that align with its strategic objectives and have the potential for growth and value creation. Avanz Capital Egypt’s investment strategy encompasses various sectors, including healthcare, logistics, green economy, renewable energy, and defense, among others.

Avanz Capital’s parent company, “I Squared Global Capital,” manages assets worth over $13 billion in 130 companies worldwide. The company targets investments in funds and companies in startup and emerging markets, with a particular focus on Africa, Latin America, and Asia.

Through its backing of Trella, launch of new funds, and investment in existing funds and companies, the firm showcases its comprehensive approach to investment. By diversifying its portfolio across different sectors and supporting both emerging and established enterprises, Avanz Capital Egypt seeks to generate attractive returns while contributing to the overall economic development of Egypt.

As the firm expands its investment activities, the company aims to make a positive impact on the Egyptian market and position itself as a trusted partner for businesses seeking growth and investment opportunities. With its dynamic approach and strategic investments, Avanz Capital Egypt continues to play a vital role in driving innovation, entrepreneurship, and sustainable economic growth in Egypt and beyond.

Source: Wamda