UAE startups grab lion’s share of regional funding

UAE startups grab lion’s share of regional funding
The UAE metaverse startup Numi raised $20 million in funding from Venom Ventures Fund. Founded in 2021, Numi aims to build a global entertainment ecosystem of virtual reality users, influencers and creators. (Supplied)
Short Url
Updated 20 January 2023
Follow

UAE startups grab lion’s share of regional funding

UAE startups grab lion’s share of regional funding
  • Tabby will utilize its funding to grow its product offering and expand current products into new markets

CAIRO: The UAE’s leading fintech startup Tabby raised $58 million in a series C funding round from international investors valuing the company at $660 million.

Established in 2019, Tabby provides users with buy now, pay later options to facilitate a financially friendly shopping experience online and offline.

In an exclusive interview with Arab News, Hosam Arab, CEO and founder of Tabby, said that the company will utilize its funding to grow its product offering and expand current products into new markets.

“We’re looking to expand our Tabby Card offering to other operating markets outside of the UAE. We’re also building toward consumer financial products to help people do more with their money,” he said.

The Tabby virtual card is a Visa card that allows shoppers to split their purchases into four payments at select in-store locations.




“We’re excited to grow with an incredible set of investors who believe in the opportunity to create a healthier relationship with money for consumers,” said Hosam Arab, Tabby CEO and founder. (Supplied)

Tabby managed to issue over 150,000 cards in six months with in-stores currently contributing 10 percent of total sales.

The company’s virtual card will apparently be launched soon in Saudi Arabia as 85 percent of its sales volume is happening in the Kingdom.

In September 2022, Abdulaziz Saja, general manager of Tabby Saudi Arabia, told Arab News that the company was planning to launch the virtual card in the Kingdom after witnessing the product’s success in the UAE.

“Tabby will continue to lead the generational shift towards fair and transparent financial products in the Middle East and North Africa region with every new product matching customer needs,” Arab stated.

The company works with over 10,000 brands including nine out of the 10 largest retail groups in the MENA region. It recently launched its services with noon, one of the region’s largest e-commerce marketplaces.

The funding round saw participation from Sequoia Capital India, STV, Mubadala Investment Capital, Arbor Ventures, Endeavor Catalyst, and PayPal Ventures as its first investment in the Gulf Cooperation Council region.

HIGHLIGHTS

• Tabby virtual card is a Visa card that allows shoppers to split their purchases into four payments at select in-store locations.

• Tabby managed to issue over 150,000 cards in six months with in-stores currently contributing 10 percent of total sales.

“We’re excited to grow with an incredible set of investors who believe in the opportunity to create a healthier relationship with money for consumers in a region that’s ripe for change,” Arab stated.

The company operates in the UAE, Saudi Arabia, Kuwait and recently expanded to Egypt with plans to expand further and cover the rest of the GCC region.

Last year, Tabby managed to attract more than 3 million active shoppers on its platform and grew its revenue by five times over the previous year.

One Moto secures $150m to fuel UK expansion

The UAE’s electric mobility startup and last-mile delivery service provider One Moto secured $150 million from an undisclosed investor in the UK to scale operations into the country.

Founded in 2019, the company aims to become a one-stop platform for electric vehicles aimed at last-mile deliveries with presence in China, Sri Lanka, Ethiopia and Nepal.

“With the support of the finance deal, we expect to deploy up to 30,000 vehicles across the UK in H1 2023. This harnesses our conversations with UK Trade & Investment to open the first European assembly plant,” Adam Ridgawy, CEO of One Moto, said in a statement.

The company will utilize its funding round to expand to the UK to help tackle the decarbonization challenges from last-mile delivery.

Alaan raises $4.5m for regional expansion

The UAE-based B2B fintech startup Alaan secured $4.5 million in a pre-series A funding round by Presight Capital and Y Combinator to fuel regional expansion.

Founded in 2020, the company offers a platform for businesses to issue physical and virtual cards to manage business expenses, transactions, subscriptions, vendor payments, government services and in-store purchases.

The company plans to utilize its funding to grow its presence in the UAE and expand into new GCC markets in addition to enhancing its product offering.

“With the new funds, we are excited to further enhance our offering and expand our reach in new markets as we continue to help businesses improve their efficiency, productivity and employee experience through Alaan,” said Parthi Duraisamy, CEO and co-founder of Alaan.

The company, which currently has over 100 businesses in the UAE benefiting more than 5,000 employees, averaged a monthly growth of 500 percent in 2022.

Metaverse startup Numi secures $20m in funding   

The UAE metaverse startup Numi raised $20 million in funding from Venom Ventures Fund, a $1 billion venture capital fund targeting blockchain and Web3 projects.

Founded in 2021, Numi aims to build a global entertainment ecosystem of virtual reality users, influencers and creators.

The company plans to release a minigame experience with a variety of special rewards named Visual Novel in 2023. Venom became the first blockchain to fall under the jurisdiction of a regulatory body after it obtained a formal license to issue utility tokens from the Abu Dhabi Global Market.

Flyby closes a $1m seed round

Emirati last-mile startup Flyby raised $1 million in a seed funding round led by Silicon Valley’s FHS Capital and London’s VN2 Capital.

Founded in 2022, the company provides clients with smart delivery boxes infused with tracking and road safety technology in addition to digital ad spaces.




Flyby provides clients with smart delivery boxes infused with tracking and road safety technology. (Supplied)

The company will utilize its funding to deploy a fleet of Flyby smart boxes in Dubai along with scaling and developing its technological aspect.

Flyby’s smart delivery box contains a series of embedded sensors, with live telemetry data including GPS position, speed, acceleration and tilt allowing the measuring and monitoring of driver behavior.

EV charging companies partner to fuel industry

The UAE-based electric vehicle charging company Regeny partnered with its California counterpart EvGateway to deliver EV charging solutions for a rising industry.

The partnership is set to deploy 10,000 EV charging stations throughout the UAE by 2030 ranging from alternate current and direct current fast-charging hardware to charging management technology.

The UAE is expected to have around 42,000 EVs on the road by 2030 and is among the top 10 countries that are geared towards electric mobility with 44 percent of the residents willing to shift to EVs, according to the press release.


UK’s Petrofac gets over $600m carbon capture contract from ADNOC Gas 

UK’s Petrofac gets over $600m carbon capture contract from ADNOC Gas 
Updated 03 October 2023
Follow

UK’s Petrofac gets over $600m carbon capture contract from ADNOC Gas 

UK’s Petrofac gets over $600m carbon capture contract from ADNOC Gas 

RIYADH: UK oil services firm Petrofac said on Tuesday it got a more than $600 million contract from ADNOC Gas for the Habshan carbon capture and storage project, as the Abu Dhabi-based company steps up its decarbonization plan. 

Energy producers globally have identified CCS as key to cutting emissions without scaling back oil and gas output, and have started to invest in such technology at a time when countries around the world are increasingly pushing towards cleaner fuels. 

CCS technology removes carbon dioxide produced by industrial processes from the atmosphere, or captures it at the point of emission, and stores it underground. 

The engineering, procurement and construction contract from ADNOC Gas would be a boost for Jersey-based Petrofac, which in August posted a half-yearly loss, hurt by subdued activity at its largest unit of engineering and construction. 

The ADNOC contract involves delivery of carbon capture units, associated pipeline infrastructure and a network of wells for carbon dioxide recovery and injection, the London-listed company said in a statement. 


Saudi PMI rises to 57.2 in September as non-oil private sector grows  

Saudi PMI rises to 57.2 in September as non-oil private sector grows  
Updated 03 October 2023
Follow

Saudi PMI rises to 57.2 in September as non-oil private sector grows  

Saudi PMI rises to 57.2 in September as non-oil private sector grows  

RIYADH: Saudi Arabia’s purchasing managers' index rose to 57.2 in September, up from 56.6 in August, as business confidence in the non-oil private sector improved, showed an economy tracker.  

According to the Riyad Bank Saudi Arabia PMI report, compiled by S&P Global, the Kingdom witnessed a sharp increase in economic activity and new businesses in the non-oil private sector in September, signaling improved market conditions and rising client orders. 

 


Saudi Arabia to establish special desk to facilitate Pakistan’s IT firms’ registration

Saudi Arabia to establish special desk to facilitate Pakistan’s IT firms’ registration
Updated 02 October 2023
Follow

Saudi Arabia to establish special desk to facilitate Pakistan’s IT firms’ registration

Saudi Arabia to establish special desk to facilitate Pakistan’s IT firms’ registration
  • Development coincides with signing of MoU to bolster cooperation in field of digital sciences

RIYADH: Saudi Arabia is set to create a dedicated desk to streamline the registration of Pakistani IT companies seeking to establish themselves in the Kingdom, announced Pakistan’s caretaker IT Minister Umar Saif on Sunday.

This development coincided with the signing of a memorandum of understanding in Riyadh between the two nations to bolster bilateral cooperation in information technology.

According to a statement by the Pakistan Embassy in Riyadh, the agreement focuses on accelerating digital transformation, fostering innovation and advancing digital infrastructure.

The MoU, signed by the Saudi Minister of Communication and Information Technology Abdullah Al-Swaha, stated that both countries will encourage small and medium-sized enterprises and startup ecosystems. 

They plan to collaborate on initiatives related to the transfer of businesses and the exchange of information on accelerators and incubators for emerging technology. 

On an official visit to the Kingdom, the Pakistani minister held meetings with several high-profile officials.

“We’re looking at opportunities for our startups to come here and raise investments from Saudi investors. These startups have raised over $800 million in just the last two years and are now at a point where they’re about to take off. I think each of these startups has the potential to become a billion-dollar company,” Saif told Arab News. 

He announced his “incredibly productive meeting” with Saudi Minister of Investment Khalid Al-Falih on social media platform X. “He (Al-Falih) has instructed (the Ministry of Investment) to establish a special desk for Pakistani IT companies to get registered in KSA (Kingdom of Saudi Arabia) and to grant (them) licenses to operate in KSA,” said Saif.

The Pakistani minister added: “I think there are huge opportunities for investment in Pakistan. We met with a lot of investors today (Sunday) and could meet with a few more with the PIF (Public Investment Fund) and STC to explore how they could come and be part of the telecom infrastructure, connectivity and payment systems in Pakistan.”  

Furthermore, Saif mentioned that the Saudi minister of communication tasked him with identifying the top 100 Pakistani talents globally — individuals potentially poised to win Nobel Prizes and establish billion-dollar companies.

“There is certainly a commitment to now forge these partnerships and relationships beyond the call of duty,” said the Pakistani minister.

Furthermore, he emphasized the significance of chip manufacturing, which involves producing semiconductor chips in various electronic devices. This area of interest is mutually vital for both countries.

“The Kingdom has put together a lot of resources and facilities for the fabrication of semiconductors. We can do it, but we don’t have the resources. However, we certainly have the technical expertise to collaborate on this,” he said.

The minister concluded the interview by highlighting Pakistan’s substantial lithium reserves, recognizing their potential for lithium-ion battery production, which could play a crucial role in future sustainable energy solutions.

“We don’t have the resources to put our facilities to convert our lithium reserves into lithium-ion batteries and products,” he commented, adding that this is “an area in which there could be deep collaboration between the two countries.” 

According to the embassy’s statement, the two nations will collaborate to explore how entrepreneurs and businesses can harness technology investments and venture capital. 

Their primary objective is strengthening their digital economy connections by assessing and certifying companies for collaborative opportunities within their information and communication technology markets.

Furthermore, the agreement will facilitate cooperation in e-governance, smart infrastructure, e-health, e-education and emerging technologies such as artificial intelligence, robotics and blockchain. 

Both countries will enhance their digital infrastructure, including fiber optic networks, data centers and cloud computing resources. 

The agreement also encourages engagement in each other’s international events and fosters information exchange between their public and private sector entities involved in IT development and electronics.


Number of Saudis in private sector rises 10.5% in Q2

Number of Saudis in private sector rises 10.5% in Q2
Updated 02 October 2023
Follow

Number of Saudis in private sector rises 10.5% in Q2

Number of Saudis in private sector rises 10.5% in Q2

RIYADH: The number of Saudi nationals in the private sector rose 10.5 percent in the second quarter of 2023 to reach 2.2 million, a report by the National Labor Observatory showed.

It revealed an average quarterly growth of about 42,000 citizens in the private sector until the current year's second quarter.

The rise was attributed to a strong economic rebound that led to an increase in the workforce.

The report also reviewed industry changes and Saudization figures for jobs in private sector establishments based on different regions across the Kingdom.

It showed that the number of Saudi employees recorded the most significant increase for both genders, with males standing at 1.3 million, compared to about 900,000 females, bringing the total Saudization rate to 22.3 percent.

The Eastern Province took the lead, recording the highest Saudization rate of 27 percent, followed by Makkah at 24 percent and Riyadh and Madinah at 21 percent each.

The information and communications sector also achieved a strong participation rate for male citizens, reaching 60 percent, while education achieved the highest engagement of female citizens at 53 percent.

In May 2022, the Saudi Ministry of Human Resources and Social Development announced that it was focusing on a skills strategy to improve professional standards for workers and those entering the labor market, according to Abdullah Abuthnain, the vice minister.

Abuthnain noted that the initiative would benefit more than 200 professions, with councils establishing employment standards and on-the-job training programs in critical economic sectors.

“We, at HRDF, will work to develop and implement labor market policies by creating a sustainable national workforce, developing human cadres’ skills, providing them with knowledge and qualifications, and aligning them with labor market and job needs,” he said at the time.


Closing bell – Saudi Arabia’s main index edges down 0.3%

Closing bell – Saudi Arabia’s main index edges down 0.3%
Updated 02 October 2023
Follow

Closing bell – Saudi Arabia’s main index edges down 0.3%

Closing bell – Saudi Arabia’s main index edges down 0.3%

RIYADH: Saudi Arabia’s benchmark index declined 0.3 percent to close at 11,005.94 on Monday recording a total trading turnover of SR5.2 billion ($1.4 billion).

The Tadawul All Share Index ended lower with 60 stocks making gains and 158 reporting losses. The MSCI Index also dipped 1.75 points to close at 1,413,37.

Nomu, the parallel market, ended the day on a positive note rising 0.41 percent and recording a trading volume of SR50.1 million.

Arabian Pipes Co. emerged as TASI’s best performer, as its share price surged 6.07 percent to close at SR90.90.

National Medical Care Co. and Leejam Sports Co. also posted significant gains, closing at SR133 and SR151.60, up by 5.89 percent and 4.99 percent respectively.

The National Company for Learning and Education and Red Sea International Co. also performed well.

Saudi Aramco Base Oil Co. closed as the day’s laggard, falling 4.56 percent to end at SR142.20.

Share prices of Al-Babtain Power and Telecommunication Co. and Bupa Arabia for Cooperative Insurance Co. also dipped to SR18.72 and SR200, falling by 4.20 percent and 4.12 percent, respectively.

On Nomu, Intelligent Oud Company for Trading emerged as the top-performing firm gaining 30 percent to conclude at SR63.70.

Alqemam for Computer Systems Co. also ended in the green rising 29.82 percent to finish at SR120.60. Paper Home Co., Mayar Holding Co., and National Building and Marketing Co. joined the gainers’ list, closing at SR 210.20, SR8.07, and SR257 after gains of 21.36 percent, 9.20 percent, and 6.20 percent, respectively.

On the announcement front, Intelligent Oud Company for Trading began listing its shares on Nomu at SR49 per share.

The company floated 325,000 shares, which represents 20 percent of its capital, to qualified investors. The offering was oversubscribed by 1,983.63 percent.

The initial public offering marked the 23rd listing on Nomu in 2023. The total number of listed companies on Nomu has now reached 67.