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Welcome to another edition of 🔍 Startup Researcher - Middle East, your essential digest delivering the latest news and premium insights on startups and venture capital across the region 🌍

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📰 Important News

• Saudi Arabia's General Entertainment Authority launched its third accelerator program to support 32 entertainment startups.

• Saudi e-commerce sales via the Mada payment system reached $4.65 billion in November 2024, marking a 29.4% year-on-year increase.

• Startup Grind Qatar held its first Tech Startup Community Awards to recognize outstanding contributions to the local tech ecosystem.

• The Saudi Central Bank has granted HyperPay a license to expand digital payment services in Saudi Arabia.

• Ibdaa Academy, an Egyptian platform specializing in AI and robotics training for children, announced plans to expand into the Saudi market.

💸 Top Funding Rounds

• Halo AI secured $6 million in seed funding led by Raed Ventures and Shorooq Partners to expand its AI-driven brand-creator platform globally.

• Amwal Tech raised $4 million in seed funding, led by Waed Ventures, to enhance biometrics-powered e-commerce installment solutions.

• Teammates.ai, formerly Uktob.ai, rebranded after securing funding from investors to provide solutions that support enterprises with multilingual AI colleagues.

• Opteam, a UAE-based AI-driven construction management software, raised a pre-seed round to enhance its AI capabilities and expand its market presence.

💰️ Notable Exits

• Bank Alfalah acquired a 9.9% stake in UAE-based fintech Jingle Pay, supporting its expansion into digital banking in Pakistan.

• Qi Group has acquired Digital Zone, a leading digital platform in Iraq, driving significant growth and innovation in the fintech sector.

• Yalla Sponsor acquired the Rooaatt platform to expand marketing and sponsorship consultancy services in Saudi Arabia.

🏦 About Investors

• Sigma Capital has launched its $100 million Sigma Capital Fund I to invest in early-stage Web3 startups, liquid tokens, and blockchain innovation.

• Sanabil Investment and Redesign Health partnered to establish the Sanabil Startup Studio in Saudi Arabia, aiming to launch 20 healthcare startups.

• JoPACC and ISSF launched an incubation program to support Jordanian fintech startups at pre- and post-MVP stages.

• UAE’s Mubadala Investment Co. is clashing with Getir’s founders over ownership amid a dispute over a restructuring deal.

🚀 Startup of the Week

Introducing our Startup of the Week 🏆

Halo AI

Halo AI, a Saudi-based startup founded in 2024 by Vito Strokov, Rami Saad, and Alex Gadalin, has raised $6 million in a seed funding round led by Raed Ventures and Shorooq Partners. The round also saw participation from strategic investors, including former C-level executives from Snapchat, and leaders from Microsoft, Airbnb, and Amazon. The funding will help Halo AI scale its AI-powered platform, which connects brands with nano- and micro-influencers, globally. The company plans to expand across MENA, Europe, and North America, with initial efforts focused on Dubai and Kuwait. Halo AI’s platform stands out in the influencer marketing space, boasting a 97% campaign completion rate and fast turnaround times, ensuring creators receive payments within 72 hours.

💼 Investor of the Week

Introducing our Investor of the Week 🏆

Sigma Capital

Sigma Capital, a UAE-based Web3 venture asset manager, has launched the $100 million Sigma Capital Fund I to accelerate innovation in the blockchain and decentralized finance sectors. The fund will focus on early-stage investments in areas like DeFi, blockchain infrastructure, tokenization, gaming, and the Metaverse. It aims to invest in 100 startups, 25 liquid tokens, and 10 fund-of-funds allocations over the next three years. Led by CEO Vineet Budki, who has overseen investments in over 300 blockchain startups, Sigma Capital leverages strategic partnerships with entities like Polygon Technology and Morningstar Ventures to offer market insights and support for its portfolio. This initiative underscores the UAE’s growing role in global blockchain innovation.

 🤑 Opportunity Radar

Call for Applications: Sustainability Open Innovation Challenge 6th Edition

Apply for the Sustainability Open Innovation Challenge 6th Edition by January 27th, 2025, to showcase your sustainable solutions and gain exclusive visibility from top investors. This global competition invites startups and SMEs to tackle pressing sustainability challenges in areas such as Climate Change, Green Buildings, Sustainable Agriculture, and Sustainable Materials. Submissions made early will receive feedback from industry experts and potential investors, opening doors to funding, collaboration, and mentorship. Don’t miss this chance to make a meaningful impact and contribute to a greener, carbon-neutral future.