Welcome to our daily update for the latest developments and activities of startups in the Arab region. This brief will cover the latest news from the region’s vibrant startup ecosystem.
4th November 2023 Startups Activities News
1. Themar Saudi Fintech Company Launches Its Platform to Finance the Purchase SMEs under the Provisions of Islamic Sharia.
Themar Saudi Financial Technology Company has officially launched its platform to finance purchases of small and micro enterprises under the provisions of Islamic Sharia. It has opened the door for registration for individual and enterprise users to benefit from the services expected to be offered. Themar obtained a license from the Saudi Central Bank in August to provide debt crowdfunding. It has opened pre-registration for users and has now launched its entire platform, where enterprises can request financing through the platform and allow investors to deposit funds into the investment portfolio to take advantage of available opportunities. In its statement, Themar indicates that it seeks to strengthen the Saudi economy by providing opportunities for both enterprises and investors to grow through financing the purchase of enterprises in light of the expansion of the SME financing market in the Kingdom of Saudi Arabia, and the increase in the number of enterprises currently exceeding one million.
2. Jisr Launches a Modern Technology System to Support Companies Manage Human Resources in KSA.
Jisr announced the launch of the modern technology system to help companies manage human resources during the Jisr 23 conference. The launch coincided with the company’s successive developments, the latest of which was the announcement of the closure of a Series A investment round amounting to approximately $30 million led by Merak Capital. Established in 2016, Jisr currently helps more than 3,000 customers by focusing on putting human capital first by helping each employee perform better with the tools and services available to them. In its statement, Jisr stated that this step refines it from a traditional human resources management system to a modern technical system for human resources that includes various tools and procedures necessary for human resources professionals without the need for other platforms, such as insurance, performance evaluation, salary payment, benefits management and additional tools that can be associated with the system.
3. Saudi Public Investment Fund Announces Launching the National Mobility Investment Company Tasaru to Fund in the Automotive Industry.
The Public Investment Fund (PIF) announced the launch of the National Company for Investment in the Automotive and Mobility Sector under the name of TASARU Mobility Investments, which aims to develop the local capabilities of the automotive and mobility sector supply chains in the Kingdom. The company will support the Kingdom’s efforts to become a global leader in this vital sector by strengthening local capabilities and is scheduled to launch its first investment through a joint venture in which it will be the largest shareholder with Zamil Real Estate Group, Abdullah Ibrahim Alkhorayef Sons Company, and Dar Al Himma Projects Company Ltd. The project aims to develop a logistics centre in King Abdullah Economic City to provide services for the complementary parts industries for automotive products. According to the statement, TASARU Mobility Investments will support research and development and promote the adoption of advanced technologies in the sector, focusing on sustainable opportunities in the industry. The company will also contribute qualitatively to supporting environmental goals, including achieving net zero emissions for the Kingdom by 2060 and for the Public Investment Fund by 2050, by accelerating the transition towards electric vehicles and future mobility solutions.
4. Aramex and Mastercard Collaborate to Launch ScaleUp Platform That Backs the Growth of Startups and SMEs in the UAE.
Aramex, the world’s leading provider of transportation services and end-to-end logistics solutions, and Mastercard, a global leader in payments technologies, have collaborated to launch the first edition of the new ScaleUp platform, which aims to support the growth of startups and SMEs in the UAE. ScaleUp, launched in partnership with the UAE Ministry of Economy’s Home of Entrepreneurship initiative, is an essential opportunity for startups and SMEs in the UAE to pitch their innovative ideas and win a cash grant of US$68,000, as well as the chance to meet a group of prominent individual investors and receive many additional benefits, including various marketing campaigns to attend an exclusive networking event under the umbrella of the ScaleUp initiative in November this year. This initiative comes in the context of the efforts of the two leading institutions to empower SMEs, entrepreneurs, and entrepreneurs. Mastercard has pledged to connect 50 million SMEs to the digital economy by 2025 and recently collaborated with Women Choice to support women entrepreneurs and contribute to creating one million jobs for women in the Arab world. Aramex believes in the importance of empowering and helping entrepreneurs to create opportunities themselves as part of its continuous efforts to understand the needs of SMEs and provide them with the necessary support, services, and innovative solutions, and through this initiative, industry leaders will enhance support for the SME sector in the UAE, as the ScaleUp initiative contributes to supporting the country’s aspirations to be home to 20 unicorns by 2031 (each worth more than one billion US dollars), primarily since small businesses Medium and medium women represent 94% of the total companies and institutions operating in the country, and contribute more than 50% of the GDP.
5. Dubai AI and Web 3 Campus Is Starting an AI Transformation Program to Assist Businesses in Developing Their Capabilities.
Dubai AI and Web 3 Campus has announced the launch of its Artificial Intelligence Transformation Programme. This highly customizable accelerator programme will help companies from across industries develop AI capabilities that will open up new horizons. The initiative contributes to enhancing Dubai’s global competitiveness by nurturing talent and innovation while continuing to support the emirate’s economic growth. The new program focuses on helping companies across different sectors by adopting artificial intelligence and other technologies, introducing their executives to industry trends, and enabling them to make informed decisions to help their organisations establish themselves at the forefront of the competition. The program will also facilitate partnerships with relevant startups and other giants to accelerate the process of creating, demonstrating, and adopting concepts related to AI technologies internally. The AI Transformation Programme will leverage the DIFC’s existing ecosystem to provide practical and convenient solutions for all participating companies. These companies will be able to benefit from a state-of-the-art Enterprise Innovation Lab, which will provide access to high-quality technology and infrastructure experts, including testing facilities including concept creation and prototyping within the Technology Readiness Assessment phase, which aims to enhance the success of startups by facilitating the adoption of their technologies by supporting strategic partnerships with ecosystem partners and facilitating their access to licensing and regulatory solutions. Campus Dubai AI and Web 3 will help stimulate the flow of deals and partnerships to foster collaboration between leading companies and startups in support of a culture of technological advancement.
6. UAE Technology Ecosystem Hub71 Raises Funding for Startups to $204K.
Hub71, Abu Dhabi’s global technology ecosystem, has announced an enhancement of its startup incentive program by increasing the value of cash and in-kind incentives to $204,000, adding value to tech startups under the umbrella of the booming and fast-growing Hub71 community. Startups that join the revolving incentive program called the Corporate Building Program will receive in-kind incentives of up to $68,000 in support services and $68,000 in cash in exchange for equity stakes, helping the founder access the capital needed to finance their business growth easily. For the first time, Hub71 will acquire ownership stakes in startups selected to join the Hub71 Business Building Program, offering comprehensive support packages designed to leverage the potential of promising companies with high growth and empower entrepreneurs with the resources needed to help them achieve sustainable impact. Hub71’s shift to the new incentive model underscores the global tech ecosystem’s commitment to increasing the value available to entrepreneurs and high-performing tech companies outside Abu Dhabi. Upon completing the company building program after one year, the top-performing startups by Hub71 criteria can receive an additional cash incentive of up to $68,000 in exchange for additional shares for Hub71. The program aims to foster the growth of projects in Abu Dhabi, which is now home to the fastest-evolving startup ecosystem by value in the MENA region and the sixth fastest-growing ecosystem globally. Once founders join the Hub71 ecosystem, they will have access to incentives to fund their business growth without the need to enter a funding round.
7. 24SEVEN Grocery Platform Announces Plans to Enter the UAE Market.
24SEVEN, the leading grocery store technology in Pakistan, has announced plans to enter the UAE market by opening its regional office in Dubai as part of its vision to develop its retail operations at local grocery stores. It aims to provide convenience and seamlessness through the best innovative technology technologies. 24SEVEN is a leading social commerce platform serving over 6,500 grocery stores and 1.2 million customers daily. Through community commerce, it is introducing more effective technology solutions that serve customers and support owners and operators in 10 cities in the Middle East, North Africa, and Pakistan (MENAT) region. In line with its strategy for growth, expansion and expansion in the GCC, it will launch its operations in the UAE through its 24SEVEN Optima brand, and 24Seven Optima services come to enable grocery store operations by providing comprehensive, specialised, advanced, and sustainable solutions through the software and hardware of the point of sale system, (POS) and a set of integrated property management systems that enable grocery store operators to manage their physical stores smoothly and flexibly, as well as enhance the possibilities of e-commerce, where the size of the materials sector Food and grocery stores in the UAE currently cost US$37 billion. Still, store owners operate with tiny profit margins, and therefore, there is a need to use technology that ensures efficiency and effectiveness and increases profitability value.
8. 500 Global and ITIDA Announce the Graduation of the First Batch of the Company’s Expansion Program in Egypt.
The Accelerator 500 Global, and the Egyptian Information Technology Industry Development Agency (ITIDA) announced the expansion of the company’s activity in Egypt by offering a 7-week program dedicated to funding Egyptian pre-Series A startups. The program is designed to empower startup founders through dedicated mentoring and growth mechanisms and prepare these businesses for their future success. In November, 500Global will celebrate the progress made by the founders and their companies and the graduation of the first batch of companies participating in the program from various fields, especially fintech, marketing technology, real estate, logistics, supply chain, and more. The closing event of the program will provide presentations and discussions to an audience of key industry stakeholders and public system partners. It will conclude with a case presentation at the Giza Innovation Center, also known as the Factory, where founders will have the opportunity to establish relationships with the 500Global network, pioneers, partners, and actors in the overall industry ecosystem, and will include world-renowned prominent speakers including Sean Ellis, author of Hacking Growth.
That’s all for today’s funding update. Stay tuned for more updates on the MENA startup scene, and remember to subscribe to our newsletter or browse our archives for more news and analysis.
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Last Updated on November 25, 2023 by Safiya K
