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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

• Meta has launched its AI chatbot, Meta AI, in the MENA region with Arabic language support, offering text and image generation across all platforms.

• Qatar has signed a five-year agreement with Scale AI to integrate AI tools into government operations, aiming to enhance public services.

• Lucid CEO Peter Rawlinson is stepping down to become a strategic technical adviser, with COO Marc Winterhoff serving as interim CEO.

• Oman Oil Marketing Company invested $3.76 million in local SMEs through contracts supporting logistics, digital transformation, and infrastructure.

• Foodics COO Djamel Mohand stepped down after nearly five years to launch his own startup, having played a key role in scaling the platform.

💸 Top Funding Rounds

• Flow48 closed a $69 million Series A funding round, led by Breega, to expand its SME lending solutions across MENA.

• Journify raised $4 million, led by Silicon Badia, to enhance AI-powered data activation, helping brands optimize first-party data for better marketing.

• CQR secured $3 million, led by Shorooq Partners, to scale its AI-powered cybersecurity solutions, protecting critical OT infrastructure from cyber threats.

• Lillia obtained a $1.7 million grant from QRDI Council to develop AI-driven chronic disease management.

• Lola raised $1.3 million in pre-seed funding to expand its customizable cake-ordering platform in Saudi Arabia, with plans to grow in the GCC market.

💰️ Notable Exits

• UAE-based IT services firm Alpha Data is pricing its IPO in Abu Dhabi at $0.41 per share, valuing it at $408 million and offering a 40% stake.

• DHL Ecommerce acquired a minority stake in Saudi logistics firm Ajex, marking its entry into the Kingdom’s booming e-commerce market.

• Egypt-based Basata increased its stake in MadfoatCom to 25%, expanding payment solutions in collaboration with key Jordanian financial institutions.

• Kent acquired Sudlows Consulting to expand into the high-growth data centre engineering market, leveraging its expertise to drive sustainable innovation.

• Epik Foods acquired gourmet deli brand 1762 to expand its premium F&B portfolio, leveraging $15.5 million in funding to drive regional growth.

🏦 About Investors

• UAE-based venture builder Disrupt.com is committing $100 million to AI-first startups globally after selling their previous company.

• Yashaa Global Capital secured regulatory approval in Abu Dhabi and targets a $75 million sports VC fund to invest in SportsTech, esports, and media.

• Al Madinah Angels launched as part of Al Madinah Ventures Initiatives to support startups in Al Madinah Al Munawarrah.

• Six VC firms, including B Capital, will establish regional hubs in Qatar under the Qatar Investment Authority's $1 billion Fund of Funds program.

🚀 Startup of the Week

Introducing our Startup of the Week 🏆

Flow48

Flow48, a fintech founded by Idriss Al Rifai, has secured $69 million in a Series A funding round led by Breega, with participation from 212, Speedinvest, Daphni, and others, to expand its AI-driven SME lending platform. The investment, a mix of debt and equity, will support Flow48’s growth in Saudi Arabia and South Africa, enhance its revenue-based financing solutions, and improve risk assessment through alternative data and machine learning. With strong investor backing, the company aims to bridge the SME funding gap in emerging markets, providing businesses with accessible capital without equity dilution.

💼 Investor of the Week

Introducing our Investor of the Week 🏆

Disrupt.com

Founded by Aaqib Gadit, Uzair Gadit, and Umair Gadit, UAE-based venture builder Disrupt.com has committed $100 million to support AI-driven startups globally, focusing on artificial intelligence, cybersecurity, Web3, automotive technology, and retail innovation. Following the $350 million sale of their previous company, Cloudways, to DigitalOcean, the founders are leveraging their expertise to provide both capital and hands-on operational support through their unique ‘CoBuild’ model. With over $40 million already deployed across multiple startups, Disrupt.com aims to drive sustainable growth in early-stage companies, positioning itself as a key player in the evolving AI and emerging technology landscape.

 🤑 Opportunity Radar

Call for Applications: Future Positive Challenge

Apply for the Future Positive Challenge by March 24th, 2025, to showcase your sustainability-driven innovations in the consumer electronics industry. This initiative, powered by Logitech, invites visionary companies, startups, and engineers to present groundbreaking solutions in areas such as battery technology, printed circuits, materials, sustainable manufacturing, and waste management. Benefit from a unique opportunity to pitch your ideas to Logitech executives, collaborate with business units, and engage in proof-of-concept discussions. Submit your application early by March 3rd and join a community dedicated to shaping a sustainable future for the electronics industry.