VC React Podcast (Episode #33)

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This week on VC React, we dig into four moves that speak to a maturing ecosystem — from a pre-IPO restructure and SME fintech, to infra for private markets and a rare outbound acquisition from the Gulf.

We start with iMENA Group, which has raised $135 million in the first tranche of its pre-IPO round — backed by Sanabil (PIF), FJ Labs, and SellAnyCar founder Saygin Yalcin. The group has now restructured as a Saudi Closed Joint Stock Company, a move that signals clear intent: consolidate its holdings across OpenSooq, SellAnyCar, and Jeeny, deepen integration across platforms, and prepare for listing. With FJ Labs — whose marketplace-heavy portfolio includes Alibaba, Rappi, and Delivery Hero — now involved, we explore whether iMENA could follow a Prosus-style model and what this tells us about the direction of tech exits in the region.

Next, Erad — a Saudi fintech offering Shariah-compliant revenue-based and fixed-term financing — has secured $16 million in a pre-Series A round. The company says over 60% of its customers are first-time credit takers, and it's already deployed $26.6 million to businesses across Saudi and the UAE. With backing from Y Combinator, Nuwa Capital, and Aljazira Capital, Erad is one of several players addressing the SME credit gap — but with a distinct approach centred on underwriting via real-time business data. We unpack how that model is evolving, and where it sits within the broader alt-lending movement.

Then we shift to infrastructure — with Zest Equity raising $4.3 million from Prosus Ventures and Morgan Stanley’s Inclusive Ventures Group. Zest started as a secondary platform but is now tackling the full stack of private market workflows: cap tables, SPVs, legal ops, and deal execution — all streamlined through its platform. Having facilitated $155 million in deals so far, we debate whether this “middle-market infra” category could become a defining layer in MENA’s capital stack.

And finally — Calo, the Saudi-based meal delivery company, has entered the UK market with a double acquisition: Fresh Fitness Food and Detox Kitchen. Rather than operate them separately, Calo is folding both into its core platform and migrating customers directly. With $100M+ in annualised revenue, a $250M valuation, and IPO plans for 2027, we look at what this kind of direct expansion move says about Calo’s model — and whether it signals a broader playbook for MENA consumer brands going international.

This week, Ahmad and I were joined by:

• Abdulrahman AlJiffry, Partner @ 500 Global 

• Abe Seksek, an angel investor and host of the ABEZ Show

• Dima Shahin, Venture Partner @ SVVI

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