Top 5 Startup Investments in Saudi Arabia’s Business Ecosystem 2024
Last Updated on November 9, 2023 by Ameer Hamza
The vision 2030, startup support, innovation hubs, and foreign Memorandums of Understanding are ways that Saudi Arabia has ensured that it remains on top of the food chain of promoting startup investments within its business ecosystem. It is no news that Saudi Arabia has rapidly become known for its ease of business. This ease has spurred the increased establishment of startups, and the government seems to be up to promoting such startups. Here are some of the five startups investment in Saudi Arabia that has defined the Saudi Arabia Business Ecosystem.
What are Five Startup Investments in Saudi Arabia’s Business Ecosystem 2024
Sary is an online platform that began in 2018. The company is an online marketplace for grocery store shopping. Since 2018, Sary has been a rapid growth chain and tagged a top startup with the most growth since its inception. The startup has received several grants and investments from the Saudi Arabian government. It has benefited from the Raed Ventures and the Saudi Aramco Entrepreneurship Ventures. Two years after its inception, Sary raised equity amounting to $30 million from investors within and outside Saudi Arabia
Tamara is a unique debt financing startup that allows customers to buy goods and pay later or to pay in installments. The company’s total funding amount amounts to about $365.6 million, and the company has topped the chart in receiving investment from the Saudi Arabian government and other stakeholders. Recently, the company received a $150 million debt facility from Goldman Sachs. It currently has more than six million customers and plans to broaden its reach in the Middle East. Ventures like Saudin Arabia Public Investment Fund, have also provided crucial aid to Tamara.
Zid was established in 2017 to provide electronic retail enrollment services in Saudi Arabia. The company’s total investment funding amount adds up to $58.9 million with its last Series B funding from Arzan Venture Capital and other stakeholders; this funding amounted to $50 million following the significant SAR26 million raised from a Series A funding in 2021.
Noon is a hotshot fashion startup that offers a chance for users to interact with its digital marketplace and have their orders delivered. The venture was founded in Saudi Arabia in 2017 and received an initial one billion dollar investment from Saudi Arabia’s Public Investment Fund and other Gulf investors. The business is doing excellently well and is looking for more investment from several stakeholders across the country and outside the boundaries of Saudi Arabia. The startup has also extended its tentacles by recently acquiring Namshi, a fashion retailer in Saudi Arabia, to expand its products and services. So far, the company has doubled its revenue and is well on its well to establishing a community for enabling merchant networks and helping retailers all over the Middle East
Nana is a recently established grocery and delivery startup that offers home delivery services after grocery shopping. The startup’s first equity amounted to $212.2 million, and it recently hosted a Series C funding where it raised over $27 thousand. Nana was founded in 2016 and is located in Riyadh, Saudi Arabia. The company has also enjoyed a host of investments from the Saudi Arabia government and has directly benefited from its policies centered on diversifying Saudi Arabia’s economy.
These startups and their investments point to one major conclusion; Saudi Arabia is particularly about enhancing the companies within its territory and diversifying its economy. Given the country’s reputation and willingness to see to the growth and development of startups within its environment, there is no doubt that these startups above will become household names and strongholds in the next five years.