Saudi Aramco and Raed invests $5.5m in emerging fintech startup Lamaa

Saudi Aramco and Raed invests $5.5m in emerging fintech startup Lamaa
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Updated 02 December 2021

Saudi Aramco and Raed invests $5.5m in emerging fintech startup Lamaa

Saudi Aramco and Raed invests $5.5m in emerging fintech startup Lamaa

RIYADH: Riyadh-based fintech startup Lamaa has secured a $5.5m investment from Saudi Aramco’s entrepreneurship arm Wa’ed and Raed Ventures.

The deal represents one of the largest seed funding rounds in Saudi Arabia.

Lamaa provides financing solutions, such as supply chain finance and Buy Now Pay Later schemes, for small and medium enterprises.

Wa'ed and Raed's investment will assist Lamaa in developing its Trade Receivables Discounting System platform, which will enable factoring across thousands of suppliers at the same time.

Lamaa was established in early 2021 by Sumeet Khutale, who relocated from London to Riyadh after working with global firms such as Barclays Capital and JP Morgan.

“Since our initial launch in March 2021, Lamaa has grown dramatically, with over 100 corporate clients in the pipeline and a projection of over $1 billion dollars’ worth of invoices to be soon launched in its marketplace,” said Khutale.

He added: “In addition to supply chain finance, we will soon start offering B2B Buy Now Pay Later plans, which would be the first offering of its kind in the region. We also plan to expand our company into Egypt, UAE and Qatar in the next few months.”

Fahad Alidi, the managing director at Wa’ed, praised Lamaa’s “impressive growth” since it was established, and said: “Lamaa presents the type of entrepreneurial business that not only empowers its own team and start-up sector, but can also promote a stronger foundation for other emerging local SMEs who use the platform for financing solutions.

“We’re proud to support Lamaa’s founding team as they continue to break new grounds in the local fintech space.”


Insurance firm Saudi Re gets central bank’s approval to raise capital to $356m through rights issue 

Insurance firm Saudi Re gets central bank’s approval to raise capital to $356m through rights issue 
Updated 11 sec ago

Insurance firm Saudi Re gets central bank’s approval to raise capital to $356m through rights issue 

Insurance firm Saudi Re gets central bank’s approval to raise capital to $356m through rights issue 

RIYADH: Saudi Reinsurance Co. has received the necessary approval from the Kingdom’s central bank to increase its capital to SR1.34 billion ($356 million), it said in a bourse filing.

Saudi Re, as the company is known, is looking to boost its capital, which currently stands at SR891 million, in a bid to support future expansion activities and strengthen its capital base.

The process will be carried out by offering a rights issue valued at nearly SR445 million, which will increase the company’s shares from 89.1 million to 134 million.

Saudi Re is among the first companies in Saudi Arabia to offer both life and non-life reinsurance products.


Here’s what you need to know as Tadawul wraps up the trading week

Here’s what you need to know as Tadawul wraps up the trading week
Updated 16 min 24 sec ago

Here’s what you need to know as Tadawul wraps up the trading week

Here’s what you need to know as Tadawul wraps up the trading week

RIYADH: Saudi Arabia’s main stock market notched its second day of gains on Wednesday, after listed companies concluded a strong earnings season.

TASI surged 2.3 percent to close at 12,588, whereas the parallel market Nomu slipped 1 percent to 22,020.

TASI led the gains in the Gulf, followed by Abu Dhabi’s stock market with a 0.9 percent gain and Kuwait’s BKP, up 0.6 percent.

Stock exchanges of Qatar and Bahrain edged 0.1 percent lower, while those of Dubai and Oman ended almost flat.

Elsewhere in the Middle East, the Egyptian blue-chip index EGX30 dropped 1.6 percent.

Oil prices rose on Thursday, with Brent crude trading at $114.29 a barrel and US West Texas Intermediate reaching $110.69 a barrel as of 9:14 a.m. Saudi time.

Stock news

Saudi Reinsurance Co. obtained approval from the Saudi central bank to raise capital from SR891 million ($238 million) to SR1.34 billion

Maharah Human Resources’ unit Growth Avenue Investment Co. closed a deal to acquire 40 percent of the shares in Salis for Trading & Marketing

Naqi Water Co. got the Capital Market Authority’s approval for an initial public offering of a 30 percent stake on the Saudi Exchange

Saudia Dairy and Foodstuff Co.’s board recommended a dividend payout of SR3 per share for the second half of the fiscal year ended March 31, 2022

Academy of Learning Co. and Keir International Co. received the CMA’s approval for direct listing on the parallel Nomu market

Batic Real Estate Co., a unit of Batic Investments and Logistics Co., obtained a loan valued at SR200 million to finance potential investments

Ataa Educational Co. got CMA’s nod to increase capital to SR421 million in order to fully acquire Naba’a Educational Co.’s shares

Salama Cooperative Insurance Co. submitted a filing to the CMA, seeking to reduce capital by 60 percent to SR100 million

Calendar

May 26, 2022

National Environmental Recycling Co., better known as Tadweeer, will start trading on the parallel market Nomu

End of Ladun Investment Co.’s IPO book-building

May 30, 2022

Close of Anaam International Holding Group’s rights trading

May 31, 2022

End of Retal Urban Development Co.’s IPO book-building

June 2, 2022

Close of Anaam International Holding Group’s new shares subscription 


Saudi Maharah’s unit acquires 40% stake in digital marketing firm Salis

Saudi Maharah’s unit acquires 40% stake in digital marketing firm Salis
Updated 24 min 27 sec ago

Saudi Maharah’s unit acquires 40% stake in digital marketing firm Salis

Saudi Maharah’s unit acquires 40% stake in digital marketing firm Salis

RIYADH: Growth Avenue Investment Co., a unit of Maharah Human Resources Co., has finalized a deal to acquire 40 percent of the shares in Salis for Trading & Marketing.

Riyadh-based digital marketing firm Salis owns Soror application, which is an on-demand home services application.

The two parties completed the due diligence process and signed a sales and purchase agreement, Maharah said in a bourse filing without disclosing the value of the transaction.

Subject to approval by Saudi Arabia’s General Authority for Competition, the deal comes as GAC is expanding its reach through a number of acquisitions.

Most recently, it signed an agreement to buy a 40 percent stake in Saudi Medical Systems Co., after taking a majority stake of 85 percent in Alshifa Al Arabia Medical Co. last year.


Oil Updates — Crude firms on tight supply; US Oil investors back energy transition plans; Leuna reducing Russian crude intake

Oil Updates — Crude firms on tight supply; US Oil investors back energy transition plans; Leuna reducing Russian crude intake
Updated 56 min 15 sec ago

Oil Updates — Crude firms on tight supply; US Oil investors back energy transition plans; Leuna reducing Russian crude intake

Oil Updates — Crude firms on tight supply; US Oil investors back energy transition plans; Leuna reducing Russian crude intake

RIYADH: Oil prices rose on Thursday, extending a cautious rally this week on signs of tight supply while the EU wrangles with Hungary over plans to ban imports from Russia, the world’s second-largest crude exporter, after it invaded Ukraine.

Brent crude futures for July settlement gained 40 cents, or 0.35 percent, to $114.43 a barrel at 0412 GMT.

US West Texas Intermediate crude futures for July delivery climbed 55 cents, or 0.5 percent, to $110.88 a barrel.

US Oil investors back energy transition plans at shareholder meetings

Shareholders of Exxon Mobil Corp. and Chevron Corp. on Wednesday voted in favor of the energy transition strategies proposed by the two largest US oil producers, following similar support of European oil firms’ climate plans.

Major oil producers this year flipped the script and won over investors with recent steps to minimize carbon emissions and as worries over energy security and fuel prices overshadowed environmental concerns at this year’s meetings.

Thirty three percent of Chevron shareholders and 28 percent of Exxon’s voted in favor of climate proposals filed by activist group Follow This at their annual shareholder meetings on Wednesday.

Chevron holders voted against a proposal for more stringent action on addressing emissions from consumers burning its fuels, known as scope 3.

At Exxon, results marked a major shift from a year-ago when activist investors secured three seats on its board, a governance landmark. 

The company has since allocated $2.5 billion per year for projects to minimize its emissions.

“One third is a shareholder rebellion,” said Follow This founder Mark van Baal, referring to the Chevron vote. 

“Together with these investors, we have to convince the other investors to vote in favor of Paris alignment as well.” 

Total’s German Leuna refinery reducing Russian crude intake

French oil major TotalEnergies’ Leuna refinery in eastern Germany is reducing its intake of Russian crude oil via the Druzhba pipeline as it has started working on a supply solution via the Polish port of Gdansk, CEO Patrick Pouyanne told shareholders in Paris on Wednesday.

Druzhba feeds not just Leuna but also the PCK Schwedt refinery, majority-owned by Russia’s Rosneft.

Poyanne said Russian oil use in May had fallen to filling 555,000 tons of refinery capacity at the plant, down from 900,000 tons last October, and 800,000 tons in February.

“In December 2022, we will have 450,0000 tons left from the contracts that we have to honor — unless sanctions are taken in the meantime — and it will be zero from 2023 onwards,” said Poyanne.

(With input from Reuters) 


Ataa Educational to increase capital to $112m for acquiring Naba'a

Ataa Educational to increase capital to $112m for acquiring Naba'a
Updated 26 May 2022

Ataa Educational to increase capital to $112m for acquiring Naba'a

Ataa Educational to increase capital to $112m for acquiring Naba'a

RIYADH: Saudi Ataa Educational Co. has received approval from the Capital Market Authority to increase its capital to SR420 million ($112 million) for the acquisition of Naba'a Educational Co.

The company will issue more than 2 million ordinary shares to acquire Naba'a through its fully-owned subsidiary, Arabian Educational and Training Group, according to a bourse filing.

The Riyadh-based educational company provides educational services for students inside the Kingdom.