Welcome to this week’s roundup of the latest funding news from Dubai’s bustling startup ecosystem. This week, we zero in on massive investments in sectors like retail IT solutions, EdTech, Fintech, and HR tech. Here is a closer look at how companies based in Dubai have fared in terms of funding milestones within the past week.
PC: Entrepreneur
Pathfinder Raises $325 Million Ahead of NASDAQ Listing
The Dubai-based retail IT solutions leader, Pathfinder, has attracted $325 million from Silver Rock Group. The funding will be structured over a three-year period starting in Q4 2024, contemporaneous with the planned NASDAQ IPO by Pathfinder. The funds will become instrumental in the global expansion and development of their RetailGPT platform for an improved experience in engaging with clients and driving company growth. Founded in 2000 by Sadique Ahmed and Ahmed Hussain, Pathfinder has been at the forefront of innovations in retail technologies.
Verbatica Secures $700,000 in Angel Investment
Verbatica, a UAE-based EdTech startup, raised USD 700,000 in angel investments. It plans to use the money raised to upgrade its language learning platform and for expansion into the Middle East and North African markets. With demo testing scheduled to begin on August 15 and a full launch slated for the end of August, Verbatica stands a good chance of grabbing eyeballs among students and professionals alike who are looking to gear up for the new academic year. The company is also getting ready for its major fundraising event in November 2024.
Mamo Raises $3.4 Million to Enhance Financial Services
The UAE-based fintech company Mamo closed its $3.4 million fundraising round led by 4DX Ventures, Dubai Future District Fund, and Cyfr Capital. On the back of this investment, Mamo will drive forward in its quest to make financial operations for SMEs much simpler, while increasing their range of products and visibility across the UAE. It also envisions using the funds to drive a strategic scale-up in Saudi Arabia and improve its regional hold.
Ogram Secures Funding for Saudi Expansion
Ogram, a UAE-based HR tech startup, has raised fresh money from Oraseya Capital, Aditum Investment Management, and Everywhere VC to bankroll its Saudi Arabia expansion plans. Founded back in 2017 by Karim Kouatly and Shafiq Khartabil, Ogram is a digital staffing marketplace that helps companies book and manage staff on demand. Having launched in Greece in 2023 after closing a $3 million series A funding round in 2022, Ogram is now on course to close its series B round and explore potential mergers and acquisitions by the fourth quarter this year.
GEMS Education Secures $3.25 Billion New Funding Facility
GEMS Education has signed a US$3.25 billion sustainability-linked funding facility cementing its global leadership in K-12 private education. The facility will be used for refinancing existing debt and acquiring the majority of its minority shareholders, sourced from local lenders including Dubai Islamic Bank, Mashreq Bank, Abu Dhabi Commercial Bank, and First Abu Dhabi Bank. This financing supports GEMS in refinancing its debt and acquiring the majority of its minority shareholders in an effort to restructure its financial position and further scale operations in light of evolving conditions in the educational sector.
TechMal Raises $1 Million Pre-Seed Investment
Saudi Arabia-based fintech startup TechMal announced that it has closed its pre-seed investment round of $1 million, which it secured from lead investor Al Majidiya Investment Company among other investors. Micro-consumer finance, specifically in residential real estate renting, is the specialisation of TechMal, an early-age company established in 2024 by Saud Al-Rebdi and Basil Alsuhaibani. Accredited by the Central Bank of Saudi Arabia, SAMA, TechMal’s Ejar enables tenants to turn their annual or semi-annual rental payments into manageable monthly installments—a much-needed financial solution in the market.
Summary
It has been a week of heavy financial injections into Dubai’s startup scene, a sure sign of the strong confidence investors have in the city’s growing position as an international innovation hub. Pathfinder’s major funding round sets up its listing on NASDAQ, and with Verbatica, Mamo, and Ogram each pushing frontiers in their sectors, this is an exciting time. These investments underline Dubai’s diversified entrepreneurial spirit, with its strategic importance in the global startup ecosystem heightened by substantial capital funnelled into a diversity of sectors such as retail IT, education, FinTech, HR tech, and EdTech. This wraps up this week’s funding roundup.
