New PostMEA Tech & Startup Digest: Issue #77

Author

Mehmet Gonullu
July 28, 2024

Welcome to the 77th edition of " The CTO Show's MEA Tech & Startup Digest" Weekly Newsletter! If you're new here, I extend a warm welcome to you, joining our dynamic community of 1992 subscribers across LinkedIn and Beehiiv. Your presence, whether as a first-timer or a loyal follower, is the heartbeat of this platform dedicated to unfolding narratives in tech, startups, and entrepreneurship.

 What is inside?

-      Weekly Startup Insights From Middle East, TĂĽrkiye & Africa

-      Episodes Recap

-      Useful Resources

 Let's not wait any longer and dive into this week's rich insights!

 This Newsletter is Supported by:

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🌍 Regional Investment Highlights & Startup Insights:

 Climate-Tech Investment

  • The Middle East and Climate-Tech: The Middle East is increasingly focusing on climate-tech investments, driven by regional collaboration and innovative startups. Initiatives like the MENA Alliance aim to fill the gap between governmental climate commitments and startup-level innovations by fostering cooperation among business communities, startups, investors, and academics. The region is seeing a surge in climate-tech ventures, such as Beewise’s smart beehives in the UAE and various partnerships focusing on green hydrogen and precise irrigation solutions. Read more

 

  • South African Climate-Tech Startup: South African climate-tech startup Plentify has closed a new funding round to accelerate its efforts in developing smart energy solutions. The funds will be used to scale its operations and enhance its technology, which focuses on optimizing energy use in homes to reduce costs and environmental impact. This investment underscores the growing interest in innovative solutions addressing climate change in South Africa. Read more

 

Fintech

  • TechMal's Pre-Seed Funding: Saudi Arabia-based fintech startup TechMal has secured $1 million in a pre-seed funding round led by Al Majidiya Investment Company. Founded in 2024 by Saud Al-Rebdi and Basil Alsuhaibani, TechMal focuses on providing financing solutions for residential real estate rentals, allowing tenants to convert annual or semi-annual rental payments into manageable monthly installments via the Ejar platform. The company is licensed by the Central Bank of Saudi Arabia (SAMA). Read more

  • MNT-Halan’s Expansion Plans: Egypt’s MNT-Halan has raised $157.5 million in a funding round led by the International Finance Corporation (IFC) and other investors including Development Partners International and Lorax Capital Partners. This funding aims to support MNT-Halan’s expansion plans beyond Egypt, leveraging their fintech platform to enhance financial access. The company, founded in 2017, has rapidly grown, serving over seven million users with services ranging from lending to e-commerce and mobility solutions. Read more

  • OTO's Series A Round: Saudi-based logistics platform OTO has raised $8 million in a Series A funding round led by Sanabil Investments. Founded in 2019, OTO specializes in streamlining shipping and logistics for merchants, offering solutions that integrate with over 250 local and international shipping companies. The new funds will support OTO’s expansion in Saudi Arabia, UAE, and Turkey, enhancing their platform’s features to better serve SMBs and enterprise clients. Read more

  • Banknbox and CSC Jordan Partnership: Egypt-based fintech Banknbox has partnered with CSC Jordan to enhance financial inclusion and offer advanced banking services in the MENA region. This collaboration aims to integrate their customer-facing systems and link applications to provide unique regional services, leveraging Banknbox’s digital banking expertise and CSC Jordan’s extensive experience in electronic payment solutions. Read more

  • Mamo's Investment: UAE-based fintech startup Mamo has secured a $3.4 million investment from 4DX Ventures, the Dubai Future District Fund, and Cyfr Capital. Founded in 2019, Mamo aims to streamline financial operations for SMEs in the MENA region. The new funding will be used to expand their product offerings and market presence within the UAE and explore opportunities in Saudi Arabia. To date, Mamo has raised a total of $13 million. Read more

 

Venture Capital and Investments

  • Venture Capital in South Africa: The Southern African Venture Capital and Private Equity Association (SAVCA) reported that venture capital investments in South Africa reached R3 billion for the first time in 2023. This milestone was achieved despite a slight decrease in the number of deals compared to 2022, indicating larger investments in fewer companies. The ICT sector, especially Fintech and Software, dominated the investment landscape, attracting nearly 88% of the total capital flow. The survey also highlighted a positive trend in diversity within fund management teams. Read more

  • ISSF’s Increased Commitment to Oasis500: The Innovative Startups and SMEs Fund (ISSF) has increased its commitment to Oasis500’s second fund, Oasis Ventures II (OVII), from $3 million to $5 million. Oasis500 focuses on early-stage ICT companies in Jordan, and this increased investment aims to enhance its support for startups, which have collectively secured $27 million in external financing. The partnership has already resulted in investments in 36 startups, 36% of which are led by female founders, creating significant employment opportunities. Read more

  • i2i Ventures’ Funding: The International Finance Corporation (IFC) has invested $3 million in Pakistan’s first women-led venture capital fund, i2i Ventures. This investment aims to support early-stage startups and promote financial inclusion by providing crucial seed funding. i2i Ventures, founded by Kalsoom Lakhani and Misbah Naqvi, focuses on backing resilient Pakistani founders and fostering innovation across various sectors. Read more

  • EmergingTech Ventures Fund II: EmergingTech Ventures, based in Morocco, is launching its second fund, targeting $60 million to support startups and expand its reach to neighboring countries. The new fund aims to invest in early-stage tech companies across North Africa, fostering regional innovation and economic growth. Read more

  • Pathfinder’s Investment Before NASDAQ Debut: Pathfinder, a retail technology solutions provider, has secured a $325 million investment from Silver Rock Group ahead of its NASDAQ listing. This funding will support the global rollout of Pathfinder’s RetailGPT platform, which enhances customer engagement through AI-powered digital solutions. The investment will be disbursed over the next three years, starting in Q4 2024, to bolster Pathfinder’s innovation and market expansion efforts. Read more

 

Startups and Innovation

  • Ogram's Expansion Plans: UAE-based HRtech company Ogram has raised a new round of funding, led by Oraseya Capital, to accelerate its expansion into Saudi Arabia. This investment will help Ogram scale its operations in the KSA, particularly targeting the retail and hospitality sectors, while continuing to grow in the UAE and Greece. The funding also positions Ogram for its upcoming Series B and potential M&A activities later this year. Read more

  • Kemitt's Expansion into KSA: Kemitt, an Egyptian e-commerce platform for furniture, has expanded into Saudi Arabia following an undisclosed funding round. This funding will enhance their platform’s user interface, scale logistics and customer service operations in KSA, diversify their product portfolio, and establish local partnerships. Kemitt aims to replicate its success in Egypt, where it offers over 100,000 SKUs and provides on-demand manufacturing with quick delivery times. Read more

  • Rebellions’ AI Chip Investment: Saudi Aramco’s venture arm, Wa’ed Ventures, has invested $15 million in South Korean AI chipmaker Rebellions Inc. This investment is part of Saudi Arabia’s strategy to enhance its AI capabilities and diversify its economy away from oil. The funding will support Rebellions’ plans to establish a subsidiary in Saudi Arabia and start operations there, in collaboration with Samsung Electronics. This move aligns with the broader Vision 2030 initiative to position Saudi Arabia as a leader in global technology and innovation. Read more

  • Zyp Technologies’ Electric Motorcycles: Shorooq Partners has led a $1.5 million pre-Series A funding round for Zyp Technologies, a Pakistani startup specializing in electric motorcycles for deliveries. The investment, joined by Indus Valley Capital and angel investors, will help Zyp deploy over 60 battery swap stations and launch 1000 electric motorcycles in Pakistan within the next year. This initiative aligns with Pakistan’s National Electric Vehicle Policy, which aims to have 30% of all vehicles sold in the country be electric by 2030. Read more

  • Brew Games’ $4 Million Investment: Turkish gaming startup Brew Games has secured a $4 million investment from Actera Group. The funds will be used to increase staffing, enhance software automation processes, and release new hypercasual and hybrid games. Brew Games, founded in 2021, aims to leverage this investment to further penetrate the mobile gaming market and attract new talent to the industry. Read more

  • Innovate Africa’s Angel Fund: Innovate Africa has launched with a $2.5 million angel fund aimed at supporting early-stage startups across the continent. The fund will provide seed capital to startups in various sectors including technology, healthcare, and education, fostering innovation and entrepreneurship in Africa. Innovate Africa aims to bridge the funding gap for nascent startups, offering not just financial support but also mentorship and access to a broad network of industry experts. Read more

  • EQIQ's Investment in Corrsy: Iraq’s EQIQ has led a $500,000 pre-seed funding round for Finnish edtech startup Corrsy. Founded by Mustafa Salam in 2019, Corrsy aims to tackle educational challenges in Iraq and the wider MENA region. The funding will help Corrsy expand its reach, bringing innovative learning solutions to more students, leveraging gamification, storytelling, and micro-learning to provide an engaging educational experience. Read more

Major Acquisitions

  • Mubadala Capital’s Acquisition of Bugaboo: Mubadala Capital has acquired a majority share in Bugaboo, a global manufacturer of strollers and children’s products, from Bain Capital. This move is part of Mubadala’s strategy to expand its investment portfolio in the consumer retail sector. Read more

  • ADIA’s Investment in Froneri: The Abu Dhabi Investment Authority (ADIA) is considering a $1.1 billion investment in Froneri, Nestlé’s ice cream joint venture. This potential deal underscores ADIA’s interest in expanding its portfolio in the consumer sector. Froneri, formed in 2016 through a partnership between NestlĂ© and private equity firm PAI Partners, is a leading global player in the ice cream market. Read more

 

Global Accelerator Programs

  • JICA’s NINJA Accelerator in South Africa: The Japan International Cooperation Agency (JICA) has launched the NINJA Accelerator in South Africa to support early-stage startups. The program aims to foster innovation and entrepreneurship by providing startups with mentorship, training, and access to investment opportunities. This expansion is part of JICA’s broader efforts to stimulate economic growth and development through technology and innovation across Africa. Read more

🎙️Episodes Recap:

 

 

In this episode of “The CTO Show with Mehmet,” we are joined by Eoghan O. , the Chief Innovation Officer at Innovecs. Eoghan takes us through his extensive journey in the tech industry, starting from his early days in Ireland with Symantec, where he worked on the Norton antivirus suite, to his roles at McAfee and Amazon. He shares his experiences of moving across continents, living in Ukraine, and ultimately settling in Australia for family reasons while continuing to work for Innovecs.

In this episode of The CTO Show with Mehmet, we are joined by Shehab Beram , the founder of VisionX, the first personal branding studio for product leaders.  Shehab shares his extensive journey from Malaysia to Istanbul, discussing his roles and experiences across various companies like Qawafel, Taker, and Mrsool. He provides insights into his work managing products and emphasizing the importance of personal branding for product leaders.

In this episode of “The CTO Show with Mehmet,” our host, Mehmet, welcomes Rodolph Khlat , the co-founder of Smartr AI, a Dubai-based software development automation engine. Rodolph shares his fascinating journey from a young entrepreneur to a leader in AI-driven software development. He discusses the origins of Smartr AI, a company dedicated to making software development faster and more efficient through automation and artificial intelligence.

 

đź”— Useful Resouces: 

-      iAccel Gulf Accelerator: iAccel Gulf Business Incubator (“iAccel GBI”) is a Global Accelerator Network (GAN) certified accelerator that aims to help early-stage tech startups turn their innovative ideas into successful businesses in MENA Region.

-      VC Lab Cohort 16 Applications are now open: VC Lab is the leading venture capital accelerator for new and emerging managers worldwide. The 14-week program provides guidance, structure and a network to complete a fund closing in 6 months or less. Over the last couple of years, roughly half of all successful VC firms launched with VC Lab.

 

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Thank You 🙏: Your engagement drives our shared journey forward. Here's to another week of innovation and growth!

 

Best, Mehmet