1. Madfu (🇸🇦KSA), a fintech start-up providing shariah-compliant BNPL services, has raised $3.2 million in a pre-seed round led by a number of investors.

2. Cognitiwe (🇦🇪 UAE), a start-up offering AI-powered real-time insights and data-driven predictions for retailers, has raised $1.05M in its latest funding round, with participation from TechOne Venture Capital, Eleven Ventures, Flat6Labs, DOMiNO Ventures, and Caucasus Ventures, along with support from angel investors.

3. iStoria (🇸🇦KSA), an English-learning app that focuses on vocabulary building through enjoyable graded stories, has raised $1.3 million in a Seed round led by Nama Ventures, Classera, Flat6Labs, BIM Ventures, and other angel investors.

4. Bosta (🇪🇬 Egypt), a logistics start-up offering its users first, middle, and last-mile delivery, guaranteeing a next-day delivery service across the globe, has raised an undisclosed funding amount from Avanz Capital Egypt.

🚗 Meet Ejaro! Based in Saudi Arabia, Ejaro is a peer-to-peer (P2P) vehicle sharing marketplace connecting local vehicle owners with renters across the MENA region.

And, they just raised $3.28 million in a pre-Series A investment round.

• The company founded in 2019 by Mohammed Khashoggi, has facilitated over 25,000 days of trips and helped over 100 hosts earn more than $660k in less than two years.

💰 Investor lowdown: The round was led by Tawuniya and angel investors.

• Ejaro previously raised $850k in seed funding from angel investors and BIM Ventures back in 2021.

⚙️ Break it down 

Ejaro helps to balance the supply and demand for rental vehicles while offering financial benefits to car owners, and better rates for renters.

How you ask? 👇

Greater availability. By leveraging private car owners, Ejaro expands the pool of available rental vehicles. 

• This approach holds merit in situations where traditional rental car companies face inventory shortages, such as during peak travel seasons - think Hajj and Umrah in KSA for example.

Making cars pull their weight. Ejaro provides car owners with a platform to earn income from their vehicles when they are not in use. 

• Helpful for individuals who may not use their cars daily, offering a way to monetise an otherwise idle and depreciating asset. Driveways don’t pay for themselves you know!

Bringing down prices. Ejaro claims that its rates can be up to 40% lower than those of traditional car rental services, whilst also providing access to a broader variety of vehicles - Ford Mustang anyone?

🔮 Flashforward: 

The fresh funding will be used to enhance Ejaro’s development and expansion plans to strengthen its position in the car rental field in MENA.

Through partnerships with Tawuniya, Najm, and Absher, the company is also making leading in the insurance sector a key focus area going forward.

📦 Meet Roboost! An Egyptian logistics startup, offering a delivery management platform that leverages AI to automate delivery operations and resolve performance issues.

And, they just secured $3 million in a recent investment round. 

• Founded in 2018 by Mohamed Gessraha, Hassan Gessraha, and Mohamed Ali Sadek, Roboost currently operates across Egypt, Saudi Arabia, Kuwait, Morocco, and Tunisia.

💰 Investor lowdown: This funding round was led by Silicon Badia, with particpation from RZM Investment, Flat6Labs, and Saudi angel investors. This funding will help Roboost expand its logistics solutions into e-commerce and middle-mile services.

🔍 Slow and steady loses the race

In the MENA region, traditional delivery systems often struggle with efficiency and accuracy. 

Okay, so how does Roboost elevate delivery management? 👇

The platform also leverages heat maps and analytics for deeper customer insights, incorporates AI for sophisticated fraud prevention, and ensures a dynamic, real-time approach to managing fleet payments.

👀 How’s it going?

Roboost has automated delivery operations for major brands in the region, from fast food to pharmaceuticals. 

• These include notable names such as McDonald's Egypt and Kuwait, Buffalo Burger, El Ezaby Pharmacies, and Jumlaty.

Currently, Roboost manages over 15,000 drivers, serves nearly 10 million customers, and has automated over 40 million orders to date.

🔮 Flashforward

Roboost plans to use the fresh funding to grow its presence in the region's delivery market, with a focus on enhancing e-commerce and middle-mile logistics offerings.

🇦🇪 Middle East Venture Partners (MEVP) has successfully concluded its first investment fund, Middle East Venture Fund I (MEVF I), achieving a 2.5x cash-on-cash return, as announced by the firm on Tuesday. Launched in 2011, MEVF I was sunset in 2023. During the same timeframe, the S&P 500 yielded returns of approximately 3.6x.

🇮🇶 The International Finance Corporation (IFC), Iraq Venture Partners (IVP), and Innovest Middle East have created a new initiative that aims to address the challenges faced by entrepreneurs in Iraq.

• The new programme, Scale Iraq, will support 20 startups, addressing their specific needs and gaps and designing and delivering tailored interventions to help them raise financing and connect with potential investors. The initiative is part of IFC's broader #ScaleMashreq programme, which aims to support 150+ startups across the Levant region.

🇯🇴 On Tuesday in Amman, six startups graduated from Flat6Labs as part of the 5th Amman Seed Program cohort. These startups, originating from Jordan, Palestine, and Lebanon, operate across various sectors including Constructech, Edtech), Sportstech, ICT, Data Analytics, and Mediatech.

🇸🇦 STV has announced the launch of Non-dilutive Investment Callable Equity (“NICE”), a first-of-its-kind instrument in the MENA region that provides an attractive alternative to traditional venture debt.

• Tabby, one of STV’s portfolio companies and MENA’s latest unicorn, was the first company to obtain this new non-dilutive financing from STV, with Hosam Arab describing the structure as “an efficient cost of capital versus equity.” More here 👉

• Not so fast. AI companies will need to start reporting their safety tests to the US government

• Tik-t… TikTok sounds go silent as songs disappear from app

• Crash. 23andMe’s Fall From $6 Billion to Nearly $0

• Superpowers. China Installed More Solar Panels Last Year Than the U.S. Has in Total

👋 Message from the team

The Sharjah Entrepreneurship Festival (SEF) 2024 is taking place this weekend - interested? Find out more here.

Featuring over 100 startups from global hubs including Singapore, the UK, and Canada, the SEF aims to connect startups with investors, covering sectors like Edtech and Fintech. Right up our street!

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