Saudi delivery startup raises $2.4m to expand outside KSA

Ahmad Ramahi (left), founder and CEO of WeDeliver, and co-founder Nasser Al-Maawi. (Supplied)
Ahmad Ramahi (left), founder and CEO of WeDeliver, and co-founder Nasser Al-Maawi. (Supplied)
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Updated 29 July 2021

Saudi delivery startup raises $2.4m to expand outside KSA

Ahmad Ramahi (left), founder and CEO of WeDeliver, and co-founder Nasser Al-Maawi. (Supplied)
  • The startup uses artificial intelligence and a mobile application to partner companies

JEDDAH: WeDeliver, a parcel delivery startup headquartered in Riyadh, has secured SR9 million ($2.4 million) as part of its first pre-seed investment round, it was announced on Wednesday.

The startup uses artificial intelligence and a mobile application to partner companies that have parcels to be delivered with a network of freelance drivers close by.

The company launched its operations in the Kingdom in April last year, just weeks after the pandemic took hold. Starting first in Riyadh, it has since expanded to Jeddah and the Eastern Province.

Ahmad Ramahi, co-founder and CEO of WeDeliver, said in a press statement: “WeDeliver is a MENA startup with a global vision, driven by an experienced team. We have ambitious plans to enrich our growth in the Saudi market and look forward to expanding to new regional markets.

“We believe that our asset-light collaborative model will disrupt intra-city logistics, enabling faster, more efficient, low-cost delivery for businesses and online sellers,” he added. Nasser Al-Maawi, another cofounder of the startup, said that WeDeliver has seen “strong results” and reported “300 percent growth in the second quarter of this year.”

According to a recent industry report, Saudi startups raised more than a quarter of a billion dollars in venture capital (VC) funding during the first half of 2021.

A total of $1.228 billion was raised by startups in the Middle East and North Africa (MENA) in the first six months of the year, a rise of 63 percent year on year and 12 percent more than was raised during the whole of 2020, according to figures from the MENA H1 2021 Venture Investment Report, published by Dubai-based research platform Magnitt.

According to the report, the top three countries in the MENA region for startup funding were the UAE, Egypt and Saudi Arabia, accounting for 71 percent of total investment. The UAE was the dominant market, making up 26 percent of total funding, followed by Egypt with 24 percent and Saudi Arabia with 21 percent, for a total of $257.88 million.

“It’s also important to note that within this top three ranking, Egypt was the only geography to observe a deal count increase year on year, while Saudi Arabia has almost closed the deal count gap with UAE from 44 deals in 2020 to just an 11-deal difference in H1 2021,” the report said. The food and beverage sector was the most popular among VCs in terms of dollars invested, while the fintech sector generated the most deals.

According to this year’s Global Entrepreneurship Monitor report, total entrepreneurial activity in Saudi Arabia increased in 2020 by 24 percent compared to 2019. It also showed that more than 90 percent of adults saw entrepreneurship as a favorable career choice, while a third of Saudis surveyed said that they were keen on launching a business within the next three years.


Argentinian exchange gets $50m in latest funding round: Market wrap 

Argentinian exchange gets $50m in latest funding round: Market wrap 
Updated 22 September 2021

Argentinian exchange gets $50m in latest funding round: Market wrap 

Argentinian exchange gets $50m in latest funding round: Market wrap 

Bitcoin, the leading cryptocurrency in trading internationally, traded lower on Wednesday, falling by 1.185 percent to $42,270.82 at 4:26 p.m. Riyadh time.

Ether, the second most traded cryptocurrency, traded at $2,939.71, down by 3.05 percent, according to data from CoinDesk.

Funding

Argentina-based Latin American exchange Ripio has successfully raised $50 million in its latest Series B funding round.

The exchange, which has a strong position in its home country and Brazil, will use these new funds to expand into other areas of South America, such as Colombia, Mexico and Uruguay later this year.

These funds will also help Ripio continue to grow its Latam brand, after it acquired Bitcointrade, one of the most popular exchanges in Brazil

"For us, this announcement is a natural step that allows us to continue expanding and consolidating our products in the region, with the mission of expanding access to the crypto world, building simple tools and offering quality information and resources to facilitate the path to the new digital economy,” Sebastian Serrano, CEO of Ripio said.

The round had the participation of bitcoin investor Tim Draper, Amplo (investors of Robinhood), Marcos Galperin (CEO of Mercado Libre), and Martin Migoya (CEO of Globant), led by Digital Currency Group (DCG).

 

Bye-bye Binance

Meanwhile, amid worldwide regulatory scrutiny, global crypto exchange Binance has announced that it will stop offering futures contracts, options and leveraged tokens to Australian users within 90 days.

"Effective from 24 September, 9 a.m. (UTC), existing Australian users will have 90 days to reduce and close their positions for these products," Binance explained.

 

Iran urged to change policy 

In Iran, some parliamentarians have set out to change the government’s regulatory stance toward cryptocurrencies, citing opportunities to use them to improve the country’s economy.

They also expressed concerns about Tehran’s restrictive policies toward innovations. 

After the release of a study that recommended a new approach to the crypto industry, lawmakers have called for the adoption of friendlier regulations.

“Taking a restrictive approach only pushes innovative solutions underground,” a spokesman for the council's economic committee, Gholamreza Marhaba, told Iranian media.

He also said: “Our studies show that 50 percent of crypto activities are in the informal market. This is while supportive regulations can help enhance contribution of the digital currency to the economy.”


Al-Falih invites Greek investors to explore opportunities in Saudi Arabia

Al-Falih invites Greek investors to explore opportunities in Saudi Arabia
Updated 22 September 2021

Al-Falih invites Greek investors to explore opportunities in Saudi Arabia

Al-Falih invites Greek investors to explore opportunities in Saudi Arabia
  • An agreement was signed to establish the Saudi-Greek Business Council

RIYADH: Saudi Investment Minister Khalid Al-Falih on Wednesday said the Kingdom seeks to benefit from Greece’s vast experience in the logistics, tourism and hospitality sectors.

Al-Falih, who is visiting Greece, held a meeting with Prime Minister Kyriakos Mitsotakis at Maximos Mansion in Athens.

During the meeting, they discussed bilateral ties and explored ways of expanding growing cooperation between the two countries in various areas.

“The Kingdom’s economy is opening up to the world at an unprecedented pace and volume, and it offers promising investment opportunities for investors from all over the world,” Al-Falih said in a statement.

He invited Greek investors and companies to explore the opportunities in the Kingdom and further strengthen bilateral ties.

“This visit is to confirm that together we can take our current relationship to even greater heights, and I look forward to welcoming more Greek investors to the Kingdom,” he said.

An agreement was signed to establish the Saudi-Greek Business Council, which will work to facilitate bilateral trade and exchange information on investment opportunities.

 


PIF first sovereign wealth fund to issue green bonds, Al-Rumayyan says

PIF first sovereign wealth fund to issue green bonds, Al-Rumayyan says
Updated 22 September 2021

PIF first sovereign wealth fund to issue green bonds, Al-Rumayyan says

PIF first sovereign wealth fund to issue green bonds, Al-Rumayyan says
  • The PIF has been given the mandate to develop nearly 70 percent of renewable projects in Saudi Arabia

RIYADH: Saudi Arabia’s Public Investment Fund will be the first sovereign wealth fund to issue green bonds, PIF Gov. Yasir Al-Rumayyan said at an event organized by the Future Investment Initiative Institute on Tuesday.

The issuance is part of the fund’s plan of shifting toward green investments.

“The Kingdom aims to deploy 50 percent of its investments in renewable and sustainable power sources,” Al-Rumayyan said.

The PIF has been given the mandate to develop nearly 70 percent of renewable projects in Saudi Arabia through its portfolio companies, the organization’s chief said.

Utilities and renewables are among the 13 sectors identified by the fund as part of its Vision 2030 strategy.

Saudi Arabia has seen a surge of interest in initiatives related to environmental, social, and governance amid growing awareness among global investors about ESG risks.

Al-Rumayyan said PIF was working with BlackRock on the ESG framework.

“We’re working with many partners from all over the world, domestically and internationally, to have better ESG compliance (in) all the things that we do,” Al-Rumayyan said.

One of the companies PIF owns, the Red Sea Development Co. which is building a new beach resort in the kingdom, secured a $3.8 billion green loan earlier this year for new hotels powered by renewable energy.

Saudi Arabia will announce its “Green Initiative” next month, followed by the “Middle East Initiative,” which includes planting 50 billion trees, Al-Rumayyan said.

“We have long-term views. We don’t want to exploit all of our resources overnight,” he said.

The PIF governor said Saudi oil has the lowest emission in the world. “Our oil is the best when it comes to emission,” Al-Rumayyan added.

Saudi Arabia is now more interested to invest in lower impacting energies toward the environment.

“We are one of the most efficient when it comes to sustainability and renewable energy. So today, as I said, our solar power production is costing us only 1.2 cents per kWh versus some other pretty restrictions, it’s over $0.15,” Al-Rumayyan said.


Stocks rebound as Evergrande jitters ease: Reuters

Stocks rebound as Evergrande jitters ease: Reuters
Updated 22 September 2021

Stocks rebound as Evergrande jitters ease: Reuters

Stocks rebound as Evergrande jitters ease: Reuters

U.S. and European stocks churned higher on Wednesday as market jitters around property developer China Evergrande eased, while the dollar index edged lower ahead of a U.S. Federal Reserve meeting, Reuters has reported.

MSCI's gauge of stocks across the globe gained 0.62 percent, bouncing back for a second day after it logged its biggest one-day percentage drop in two months on Monday.

Wall Street's main indexes moved higher in early Wednesday trade following solid gains for markets in Europe.

China Evergrande agreed to settle interest payments on a domestic bond, while the Chinese central bank injected cash into the banking system, soothing investors' fears of imminent contagion from the debt-laden property developer that had pressured equities and other riskier assets at the start of the week.

"Right or wrong, people I think are starting to show signs that they think maybe this pullback has reached its worst point," said Randy Frederick, vice president of trading and derivatives for Charles Schwab in Austin, Texas. "It wasn't entirely the Evergrande situation, but it seems like that was one of the biggest pieces of it."

On Wall Street, the Dow Jones Industrial Average rose 361.36 points, or 1.07 percent, to 34,281.2, the S&P 500 gained 37.02 points, or 0.85 percent, to 4,391.21 and the Nasdaq Composite added 88.66 points, or 0.6 percent, to 14,835.06.

The pan-European STOXX 600 index rose 0.93 percent, with bank stocks surging.

With a number of central banks around the world meeting this week, the Bank of Japan (BOJ) offered a bleaker view on exports and output as Asian factory shutdowns caused supply bottlenecks, but maintained its optimism that robust global growth would keep the economic recovery on track. BOJ Governor Haruhiko Kuroda also brushed aside fears that the debt problems of Evergrande could disrupt the global financial system.

Investors were closely watching the Fed, with the U.S. central bank expected to clear the way on Wednesday for reductions to its monthly asset purchases later this year.

The dollar index fell 0.102 percent, with the euro up 0.16 percent to $1.1742. The Japanese yen weakened 0.32 percent versus the greenback at 109.56 per dollar.

Benchmark U.S. 10-year notes last rose 1/32 in price to yield 1.3209 percent, from 1.324 percent late on Tuesday.

Oil prices climbed after industry data showed U.S. crude stocks fell more than expected last week after two hurricanes, highlighting tight supply as demand improves.

U.S. crude rose 1.93 percent to $71.85 per barrel and Brent was at $75.77, up 1.9 perncet on the day.

Spot gold dropped 0.1 percent to $1,773.31 an ounce, after three sessions of gains.

 


Burgerizzr pays $2.1m in cash dividends in H1

Burgerizzr pays $2.1m in cash dividends in H1
Updated 22 September 2021

Burgerizzr pays $2.1m in cash dividends in H1

Burgerizzr pays $2.1m in cash dividends in H1

Burgerizzr board of directors have signed off on SR8 million ($2.1 million) in cash dividends for the first half of 2021, according to a filing.

The pay-out — worth SR 3.2 per share - come as the restaurant chain’s profits increased by 16 percent to SR6.49 million ($1.73 million) during the first half of this year.

Burgerizzr, run by Shatirah House Restaurant Company, saw its net profits rise thanks to the opening of 13 new branches in the period to the end of June 2021.

Financing costs and losses on the disposal of property and equipment also decreased, according to Tadawul.

The total income of the company amounted to SR24.4 million in the first half of this year, up 28 percent compared to SR19 million during the same period in 2020.

The operating profit amounted to SR7 million, up 5 percent, compared to SR6.8 million for H1 last year.

Earnings per share during the period amounted to SR2.6, compared to SR2.25 during the first six months of last year.