You are here

  • Home
  • Startup Wrap – regional startup activity flourishes  

Startup Wrap – regional startup activity flourishes  

Startup Wrap – regional startup activity flourishes  
Saudi-based firm Merit has raised $12 million in its pre-series B funding round. Supplied
Short Url

https://arab.news/cfb75

Updated 01 October 2024
Nour El-Shaeri 
Follow

Startup Wrap – regional startup activity flourishes  

Startup Wrap – regional startup activity flourishes  
Updated 01 October 2024
Nour El-Shaeri 
Follow

CAIRO: The startup ecosystem in the Middle East and North Africa region saw a flurry of activity as venture investments and acquisitions bloom. 

Saudi Arabia-based Software-as-a-Service provider Merit has raised $12 million in its pre-series B funding round, led by Alistithmar Capital i-Cap and followed by existing series A investors Tech Invest Com and Hambro Perks Oryx Fund. 

Founded in 2016 by Julie Barbier-Leblan and Thrishan Padayachi, Merit assists businesses in increasing customer and employee engagement via a suite of cloud-based SaaS platforms, enterprise solutions, applications, and software.  

This new round will help Merit develop its technology to enhance customer engagement. In 2021, Merit raised $5 million in a series A round led by Saudi Arabia’s Impact46, along with Tech Invest Com, Arzan VC, Hambro Perks Oryx, and several regional angel investors. 

Riyad Capital launches 1957 Ventures to support digital transformation 

Riyad Capital, backed by Riyad Bank, has launched the 1957 Ventures investment fund to drive transformative growth in Saudi Arabia’s fintech sector. 

The fund aims to accelerate the Kingdom’s digital transformation by creating opportunities for innovative fintech business models. 

Abdullah Alshwer, CEO of Riyad Capital, stated, “The 1957 Ventures Fund embodies a forward-thinking financial vision aligned with the Kingdom’s ambitious digital transformation goals; this fund signifies a strategic investment in the future of Saudi fintech.”  

“Our institutional approach will unlock new levels of innovation, driving both sector growth and sustainable economic impact,” he added. 

Saudi logistics startup MDD closes $1.3m series A round 

Saudi Arabia-based logistics startup MDD has closed its series A round with $1.3 million in funding for a 5 percent stake with a valuation of $26 million. 

Founded in 2019, MDD provides supply chain solutions for businesses. 

Saudi startup Sorbet’s raises funding round from web3 VC Adverse 

Saudi web3 startup Sorbet raised an investment round from the Kingdom’s recently announced venture capital firm Adverse. 

Founded by Rami Djebari and Maher Ayari, Sorbet aims to simplify business processes for freelancers by cutting fees and intermediaries. 

“Receiving support from an experienced partner like Adverse will accelerate our development and enhance our market strategy. This collaboration is a milestone in breaking down financial barriers and enabling limitless growth opportunities for professionals in the region,” Djebari said. 

Egyptian fintech e-Finance acquires stakes in Al Ahly Momken and EasyCash 

Egypt-based fintech e-Finance for Digital and Financial Investments has acquired a 25 percent stake in Al Ahly Momken and a 13 percent stake in EasyCash for Digital Payments for an undisclosed deal value. 

Founded in 2005, e-Finance is involved in the development of digital payment infrastructure and digital space to help achieve social development goals.  

Al Ahly Momken, based in Egypt, is a digital payment provider, serving over 90,000 merchants and more than 5 million customers.  

Meanwhile, EasyCash, also based in the north African country, provides payment services for individuals, merchants, and businesses. 

These acquisitions align with e-finance’s strategy to expand its footprint in the digital payments market and support Egypt’s Vision 2030 for digital transformation. 

Egypt’s OneOrder closes $16m series A round 

Egypt-based logistics startup OneOrder has raised $16 million in a series A round in a mix of equity and debt, led by Delivery Hero Ventures, with participation from Norrsken22 and existing investors, Nclude and A15. 

Founded in 2022 by Tamer Amer and Karim Maurice, OneOrder is a tech-enabled supplier and wholesale distributor that offers the food and beverages industry a supply of quality goods with embedded financing.  

The company plans to expand into the Gulf Cooperation Council region by the fourth quarter of 2024. In December 2022, OneOrder closed a seed round at $3 million. 

Jordan’s fintech liwwa takes $5m loan 

Jordan-based fintech liwwa has secured a $5 million loan from the US International Development Finance Corp.. 

Founded in 2013 by Ahmed Moor and Samer Atiani, liwwa is a peer-to-peer lending network that connects investors and small businesses through smart business loans.  

The latest cash influx will enable liwwa to finance further small and medium sized enterprises across various sectors. Liwwa’s last funding round was in 2022, when it raised $18.5 million in a pre-series B round of equity and debt. 

Egyptian investment bank EFG Hermes acquires stake in Danish wealth management firm 

Egypt’s investment bank, EFG Hermes, a subsidiary of EFG Holding, has acquired a minority stake in the Danish digital wealth manager Kenzi Wealth for an unknown value. 

The new partnership will enhance EFG Hermes’ digitalization vision. By combining EFG Hermes’ client network and Kenzi Wealth’s AI tools, EFG Hermes will be able to offer its clients a more efficient and personalized investment experience.  

Founded in 2021 by Mohamed El-Masri, Kenzi Wealth specializes in tailoring investment features to meet the needs of investors. 




Mohamed El-Masri, founder of Kenzi Wealth. Supplied

UAE’s Plain Tiger raises funding round 

UAE-based business-to-business marketplace Plain Tiger has raised an investment from UAE’s venture capital firm AngelSpark for an undisclosed amount. 

Founded in 2021 by Alexandra Polson and Oliver Baillie, Plain Tiger connects hotels with eco-friendly suppliers, saving them time, money, and reducing their environmental impact.  

The investment is part of Plain Tiger’s $1.5 million seed round, which will be used to expand into Saudi Arabia and accelerate more hotels’ pathway to net zero procurement. 

UAE’s Revent closes $900k in pre-seed round 

UAE-based electronics marketplace Revent has raised $900,000 in a pre-seed round, provided by Techstars and a group of angel investors. 

Founded in 2022 by Baldeep Singh and Dhananjay Choubey, Revent offers SMEs pre-owned devices on monthly subscriptions across the UAE and Saudi Arabia.  

The funds will be used to build a self-service platform for businesses, along with growing Revent’s client base in Saudi Arabia. 

UAE’s proptech Keyper closes $4m equity round 

UAE-based proptech Keyper has raised $4 million in equity in a pre-series A round, led by BECO Capital and Middle East Venture Partners, with participation from existing investors Vivium Holding, Jabbar Group, Signature Developers, and new investors Annex Investments, Pin Investment, and Al Qahtani Investment, among other angels. 

The company has also received an additional $30 million in Shariah-compliant sukuk financing from global asset manager Franklin Templeton Investments Ltd., bringing its cumulative capital raised to-date to over $40 million.  

Founded by Omar Abu Innab and Walid Shihabi in 2022, Keyper offers a property management platform where tenants can track their expenses and charge online, and investors get real estate portfolios and access to data-driven insights.  

Keyper will invest the fresh funds into digitizing the rental experience in the UAE and scaling its innovative rent now, pay later solution. Last October, Keyper raised a $6.5 million seed round. 

UAE’s proptech Huspy raises investment round 




The app of proptech firm Huspy. Supplied

UAE-based property technology firm Huspy has raised a fresh investment round led by Balderton Capital, with further participation from existing investor Fifth Wall, amongst other investors. 

Founded in 2020 by Jad Antoun and Khalid Ashmawy, Huspy facilitates the home buying and financing process through its online marketplace.  

The company claims that this round of funding is at a higher valuation than the $37 million series A raised in 2022. The newly acquired capital will be deployed to build a super app for real estate. 

Egypt’s proptech Birdnest raises pre-series A round 

Egypt-based proptech Birdnest has closed an undisclosed pre-series A funding round for a 20 percent stake in the company, led by Beltone Venture Capital and CI Venture Capital. 

Founded in 2020 by Mostafa El-Nahawy and Ahmed Fadda, Birdnest offers furnishing services and rental management solutions to ensure maximum returns for real estate investors and value for tenants.  

The funds are earmarked for the expansion of the regional quality team, the enhancement of proprietary technologies, and marketing initiatives to reinforce Birdnest’s market position.

Topics: startups merit Software as a service (SaaS) PropTech

Related

Two Saudi startups join climate action accelerator
Corporate News
Two Saudi startups join climate action accelerator

Saudi Arabia emerging as global cybersecurity guardian: digital experts

Saudi Arabia emerging as global cybersecurity guardian: digital experts
Updated 20 December 2024
Nadin Hassan
Follow

Saudi Arabia emerging as global cybersecurity guardian: digital experts

Saudi Arabia emerging as global cybersecurity guardian: digital experts
Updated 20 December 2024
Nadin Hassan

RIYADH: From protecting its growing digital infrastructure to exporting cybersecurity technologies and expertise, Saudi Arabia is emerging as a key player in addressing global cyber threats.

The Kingdom has made significant strides in developing its technology infrastructure, a key pillar of its Vision 2030 initiative aimed at diversifying the economy beyond oil.

This digital transformation has been accompanied by a comprehensive approach to online safety – including the adoption of the National Cybersecurity Strategy, which focuses on creating a secure digital landscape that supports rapid technological advancements.

“The growth of Saudi Arabia’s tech infrastructure has substantially enhanced its cybersecurity capabilities,” Sohil Mohamed, director, cyber risk advisory lead at Alvarez & Marsal told Arab News.

He praised the National Cybersecurity Strategy,  saying that it prioritizes resilience, secure digital landscapes, and trust.

This strategic approach ensures that Saudi Arabia’s technological growth is supported by adaptive risk management and dynamic defense mechanisms.

In addition to the government’s efforts, the private sector has also played a critical role in building a secure digital ecosystem.

The expanding cybersecurity market in Saudi Arabia

As one of the fastest-growing markets in the Middle East, Saudi Arabia’s cybersecurity sector is valued at approximately SR13.3 billion.

This rapidly expanding market offers substantial opportunities for public-private partnerships, particularly in developing advanced cybersecurity solutions and creating new business models for commercial involvement.

Additionally, the Saudi government’s focus on digital transformation and cybersecurity has opened new avenues for investment.

“Key areas of focus include the development of advanced cybersecurity solutions, engagement in public-private partnerships, and contributions to national initiatives such as the Cybersecurity Catalyst Program spearheaded by the National Cybersecurity Authority,” Mohamed said.

These initiatives are driving a collaborative effort between the public and private sectors to strengthen the Kingdom’s cyber resilience.

Saudi Arabia’s investment in the sector also positions it as a key player in the global cybersecurity market.

The government has partnered with international organizations and cybersecurity firms to enhance its capabilities and bolster the country’s readiness to handle large-scale cyber threats.

This proactive stance is evident in Saudi Arabia’s role as host of major events, such as the Global Cybersecurity Forum, which brings together industry leaders.

Sohil Mohamed, director, cyber risk advisory lead at Alvarez & Marsal. Supplied

Protecting national infrastructure – a key priority

Critical Information Infrastructure Protection has become a top priority for Saudi Arabia as it seeks to secure vital sectors, such as energy, finance, and transportation, from cyber threats.

The Kingdom has experienced several high-profile cyberattacks, most notably the Shamoon attack in 2012, which targeted Saudi Aramco, one of the world’s largest energy companies.

This incident underscored the importance of building robust cybersecurity measures to protect national assets.

Saudi corporations are increasingly focused on quantifying the economic impact of potential cyberattacks, particularly in industries that form the backbone of the national economy.

“Saudi corporations are progressively implementing sophisticated risk assessment tools and methodologies to quantify the economic impact of cyber threats,” Mohamed said.

He explained that this includes evaluating potential financial losses, operational disruptions, and reputational damage from cyber incidents.

Additionally, cyber insurance is becoming a critical tool for mitigating risks. This provides financial protection against potential cyberattacks and promotes the adoption of best practices across industries.

The growing reliance on cyber insurance reflects the increased awareness among Saudi businesses of the importance of proactive cybersecurity measures.

Exporting cybersecurity expertise and technology

Saudi Arabia’s progress in cybersecurity is not only benefitting the Kingdom but also positioning it as a global leader capable of exporting expertise and technologies.

The National Cybersecurity Authority has been instrumental in fostering international collaborations and creating platforms for knowledge sharing.

Initiatives such as the National Cybersecurity Academy provide advanced training to professionals, equipping them with the skills needed to address both domestic and international challenges.

Alvarez & Marsal’s Mohamed said: “By leveraging its robust cybersecurity frameworks and strategic partnerships, Saudi Arabia can offer tailored cybersecurity services and solutions to other regions. Initiatives such as the National Cybersecurity Academy by the NCA.”

This capacity for exporting cybersecurity solutions will allow Saudi Arabia to play a critical role in addressing global online threats.

Moreover, the Kingdom’s strategic location and status as a regional economic hub make it a key player in cybersecurity across the Middle East and North Africa region.

Saudi Arabia is increasingly seen as a model for other countries seeking to enhance their cybersecurity frameworks. Its experience in managing threats and building resilient digital infrastructure has positioned it as a leader in this space.

The Kingdom’s efforts to protect its critical infrastructure are seen not just as a defensive necessity but also as a key pillar in positioning the Kingdom as a leader in global cybersecurity. Vision 2030 has been a central driver of this transformation.

Events such as the Global Cybersecurity Forum have cemented Saudi Arabia’s leadership position. File

Samer Omar, cybersecurity and digital trust leader at PwC Middle East, highlighted to Arab News how the Kingdom’s digital growth has shaped its cybersecurity strategy.

“Saudi Arabia has achieved fourth place globally in the digital services index, first regionally, and second among G20 nations. The rapid advance in technology has increased the digital ecosystem in Saudi Arabia, which in turn has further increased its exposure to cyber-attacks,” Omar said.

He added: “In response, the Kingdom has successfully orchestrated a combination of regulations, investments, and awareness which has propelled most sectors to adopt a proactive security by design approach.”

This proactive approach allowed Saudi Arabia to secure the highest ranking possible in the UN Global Cybersecurity Index 2024, a reflection of the Kingdom’s investment in a secure digital future.

Omar pointed out that Vision 2030 has accelerated the investment in human capital to build critical national capability and aid nationals in attaining key cybersecurity skills and certifications.

He also emphasized the vital role Vision 2030 plays in safeguarding the Kingdom’s critical sectors, particularly energy, finance, and smart cities, which are integral to the nation’s economy.

“Saudi Arabia faces compelling challenges in these critical sectors due to the complex infrastructure, creating a potentially vulnerable and vast attack surface for adversaries,” Omar said.

Omar noted Saudi Arabia’s determination to not only secure its own digital landscape but also position itself as a cybersecurity leader on the global stage.

This leadership is exemplified by initiatives like the Global Cybersecurity Forum, which Omar describes as “a unique ecosystem and platform that is actively engaging with leading bodies such as the World Economic Forum,” thus shaping the future of cybersecurity well beyond the Kingdom.

Addressing the cybersecurity talent gap

Saudi Arabia has been proactively addressing the shortage of cybersecurity talent by heavily investing in capacity-building programs supported by both public and private sectors.

“There are an estimated 19,600 Saudi cybersecurity professionals with 32 percent of them being female,” Omar said.

He continued: “In addition, most major universities have cybersecurity education and training including Capture The Flag competitions, and all the major cybersecurity technology vendors provide training on their products and services.”

These efforts are integral to the country’s broader vision of strengthening its digital infrastructure under Vision 2030.

A secure future

According to Omar, the cybersecurity industry in Saudi Arabia is projected to experience significant growth in the coming years, driven by the Kingdom’s Vision 2030 initiative and robust regulatory frameworks.

“NCA released a report this year that estimates the size of the cybersecurity market to be SR13.3 billion with 31 percent of the spending from the public sector and the remaining 69 percent from the private sector,” he said.

Omar went on to say: “Some analysts estimate the cybersecurity CAGR to be between 11 percent to 13 percent.”

This is due to Vision 2030, which serves as a catalyst for developing the digital ecosystem, Omar explained, emphasizing the strategic role of the initiative in shaping the country’s cyber transformation.

Topics: Cybersecurity National Cybersecurity Strategy UN Global Cybersecurity Index

Related

How Saudi Arabia can protect its digital transformation with robust cybersecurity tools
Saudi Arabia
How Saudi Arabia can protect its digital transformation with robust cybersecurity tools
Saudi Arabia strengthens cybersecurity leadership at Black Hat MENA
Business & Economy
Saudi Arabia strengthens cybersecurity leadership at Black Hat MENA

Pakistan announces tariff cuts on imports under Azerbaijan trade deal

Pakistan announces tariff cuts on imports under Azerbaijan trade deal
Updated 20 December 2024
Follow

Pakistan announces tariff cuts on imports under Azerbaijan trade deal

Pakistan announces tariff cuts on imports under Azerbaijan trade deal
  • Imports from Azerbaijan exempted from all kinds of customs and regulatory duties from Dec. 16
  • Pakistan and Azerbaijan signed trade agreement in July during President Aliyev’s visit to Islamabad
Updated 20 December 2024
NAIMAT KHAN

KARACHI: Pakistan’s Federal Board of Revenue (FBR) has waived off customs and regulatory duties on imports from Azerbaijan under the Pakistan-Azerbaijan Preferential Trade Agreement, the finance ministry said in a notification this month.

During Azerbaijan President Ilham Aliyev’s two-day visit to Pakistan in July, both nations agreed to enhance the volume of bilateral trade to $2 billion, vowing to strengthen ties and increase cooperation in mutually beneficial economic projects. They also signed the Pakistan-Azerbaijan Preferential Trade Agreement to boost economic cooperation through the reduction of tariffs on goods like Pakistani sports equipment, leather, and pharmaceuticals as well as Azerbaijani oil and gas products.

“The federal government is pleased to exempt with effect from Dec. 16, 2024, the import into Pakistan from Azerbaijan of the goods specified,” the finance ministry said in a notification. adding that imports from Azerbaijan would be exempted from all kinds of tariffs including customs duty, additional customs duty and regulatory duty. 

“Provided that where the rates of customs duty, additional customs duty, and regulatory duty [...] are higher than specified rates, the lower rates [...] shall apply,” it added.

The tariff concessions cover items including shelled hazelnuts or filberts, apricots, vegetable saps and extracts, non-stemmed tobacco, polyethylene, propylene copolymers, casing, tubing, drill pipes and refined copper wire with a maximum cross-sectional dimension exceeding 6 mm.

In recent weeks, there has been a flurry of visits, investment talks and economic activity between officials from Pakistan and the Central Asian nations as well as other transcontinental and landlocked countries like Azerbaijan as Islamabad seeks to consolidate the South Asian nation’s role as a pivotal trade and transit hub.

Topics: Pakistan Azerbaijan Trade deal Arab News Pakistan Federal Board of Revenue

Oil Updates – crude falls on demand growth concerns, robust dollar

Oil Updates – crude falls on demand growth concerns, robust dollar
Updated 20 December 2024
Reuters
Follow

Oil Updates – crude falls on demand growth concerns, robust dollar

Oil Updates – crude falls on demand growth concerns, robust dollar
Updated 20 December 2024
Reuters

LONDON, Dec 20 : Oil prices fell on Friday on worries about demand growth in 2025, especially in top crude importer China, putting global oil benchmarks on track to end the week down more than 3 percent.

Brent crude futures fell by 32 cents, or 0.4 percent, to $72.56 a barrel by 4:09 p.m. Saudi time. US West Texas Intermediate crude futures also eased 32 cents, or 0.5 percent, to $69.06 per barrel.

Chinese state-owned refiner Sinopec said in its annual energy outlook released on Thursday that China’s crude imports could peak as soon as 2025 and the country’s oil consumption would peak by 2027 as diesel and gasoline demand weaken.

“Benchmark crude prices are in a prolonged consolidation phase as the market heads toward the year-end weighed by uncertainty in oil demand growth,” said Emril Jamil, senior research specialist at LSEG.

He added that OPEC+ would require supply discipline to perk up prices and soothe jittery market nerves over continuous revisions of its demand growth outlook. The Organization of the Petroleum Exporting Countries and allies, together called OPEC+, recently cut its growth forecast for 2024 global oil demand for a fifth straight month.

JPMorgan sees the oil market moving from balance in 2024 to a surplus of 1.2 million barrels per day in 2025, as the bank forecasts non-OPEC+ supply increasing by 1.8 million bpd in 2025 and OPEC output remaining at current levels.

Meanwhile, the dollar’s climb to near a two-year high also weighed on oil prices, after the US Federal Reserve flagged it would be cautious about cutting interest rates in 2025.

A stronger dollar makes oil more expensive for holders of other currencies, while a slower pace of rate cuts could dampen economic growth and trim oil demand.

US President-elect Donald Trump said on Friday that the EU may face tariffs if the bloc does not cut its growing deficit with the US by making large oil and gas trades with the world’s largest economy.

In a move that could pare supply, G7 countries are considering ways to tighten the price cap on Russian oil, such as with an outright ban or by lowering the price threshold, Bloomberg reported on Thursday.

Russia has circumvented the $60 per barrel cap imposed in 2022 using its “shadow fleet” of ships, which the EU and UK have targeted with further sanctions in recent days. 

Topics: oil updates oil prices

Related

Oil Updates — prices nudge down on demand concerns, focus on Fed meeting 
Business & Economy
Oil Updates — prices nudge down on demand concerns, focus on Fed meeting 
Oil Updates – crude stabilizes on course for first weekly gain in 3
Business & Economy
Oil Updates – crude stabilizes on course for first weekly gain in 3

Saudi Arabia drives MENA e-commerce growth during festive season: report

Saudi Arabia drives MENA e-commerce growth during festive season: report
Updated 19 December 2024
Reem Walid
Follow

Saudi Arabia drives MENA e-commerce growth during festive season: report

Saudi Arabia drives MENA e-commerce growth during festive season: report
Updated 19 December 2024
Reem Walid

RIYADH: Saudi Arabia played a pivotal role in driving a 44 percent increase in e-commerce orders across the Middle East and North Africa region during the 2024 festive season, according to a joint study by Flowwow and Admitad.

The surge was fueled by trends in mobile shopping, cultural celebrations, and gifting. Saudi Arabia led the way in mobile commerce adoption, with 62 percent of online purchases made via mobile devices.

The report also highlighted significant growth in the broader MENA e-commerce market, which is expected to reach $50 billion by 2025. During the holiday season, this market experienced a substantial uptick in activity.

Flowwow, a UAE-based gifting marketplace, reported a 62 percent rise in purchases, an 86 percent increase in sales turnover, and a 15.76 percent increase in average order value compared to the previous year.

Slava Bogdan, CEO of Flowwow, said: “The festive season is one of the peak shopping periods for Flowwow gifting marketplace. It’s a time when our customers focus on celebrating and sharing joy through thoughtful gifts for their loved ones.”

He continued: “Starting with White Friday in November and continuing through the Christmas and New Year festivities, this period represents a critical shopping time in the GCC region, especially with the growing expat population.”

According to the study, November emerged as the busiest month for e-commerce, driven by Black Friday sales and preparations for Christmas and New Year. Ramadan in March and International Women’s Day in January also contributed to sales growth, with increases of 11 percent and 14 percent, respectively.

Across the region, the average order value rose from $30 in 2023 to $36 in 2024, reflecting a shift toward higher spending on quality items.

The report further revealed that mobile commerce accounted for 44.6 percent of all orders in the region in 2024. Following Saudi Arabia’s lead, the UAE recorded 60 percent adoption, Bahrain had 59 percent, and Oman followed with 58 percent. Kuwait and Qatar also saw strong mobile commerce uptake at 57 percent and 54 percent, respectively.

Marketplaces continued to dominate, contributing to 67 percent of total sales. Key product categories included electronics, fashion, and home and garden, while high-value items like furniture and jewelry drove higher AOVs.

“This year’s surge in e-commerce activity demonstrates the evolving shopping habits in the MENA region, where mobile-first experiences and marketplace-driven sales have become the backbone of consumer behavior. Our data highlights how businesses can leverage these trends to optimize their strategies and grow significantly during peak seasons,” said Anna Gidirim, CEO of Admitad.

Among the countries in the region, Kuwait recorded the highest average order value at $127, followed by the UAE at $102, Egypt at $74, Saudi Arabia at $52, and Qatar at $50.

Pakistan saw the largest sales growth at 28 percent, with notable increases in Kuwait at 17 percent and Saudi Arabia at 8 percent, according to the survey data.

The report emphasized the importance of cultural celebrations in shaping consumer behavior and underscored the growing role of mobile commerce and marketplaces in the region’s e-commerce landscape.

Topics: Saudi Arabia MENA ecommerce

Closing Bell: Saudi main index ends week in red; trade volume nears $3bn 

Closing Bell: Saudi main index ends week in red; trade volume nears $3bn 
Updated 19 December 2024
Nour El-Shaeri 
Follow

Closing Bell: Saudi main index ends week in red; trade volume nears $3bn 

Closing Bell: Saudi main index ends week in red; trade volume nears $3bn 
Updated 19 December 2024
Nour El-Shaeri 

RIYADH: Saudi Arabia’s Tadawul All Share Index closed in red on Thursday, losing 68.61 points, or 0.57 percent, to settle at 11,892.44. 

The total trading turnover of the benchmark index was SR10.9 billion ($2.9 billion), as 51 of the listed stocks advanced, while 185 retreated.  

The MSCI Tadawul Index also decreased by 8.95 points, or 0.60 percent, to close at 1,489.42. 

The Kingdom’s parallel market Nomu gained 247.96 points, or 0.79 percent, to close at 31,444.21. This comes as 33 of the listed stocks advanced, while 49 retreated. 

The best-performing stock of the day was Savola Group, with its share price surging by 9.97 percent to SR36.95. 

Other top performers included Middle East Specialized Cables Co., which saw its share price rise by 5.14 percent to SR41.90, and Arabian Centers Co., which saw a 3.94 percent increase to SR21.62. 

Bawan Co. and Al-Baha Investment and Development Co. also saw a positive change, with their share prices surging by 3.64 percent and 3.23 percent to SR57 and SR0.32, respectively. 

The worst performer of the day was Fitaihi Holding Group, whose share price fell by 6.68 percent to SR4.05. 

Arabian Contracting Services Co. and AYYAN Investment Co. also saw declines, with their shares dropping by 4.17 percent and 14.42 percent to SR156.40 and SR3.87, respectively.  

Moreover, Raydan Food Co. and East Pipes Integrated Co. for Industry also saw declines in today’s session, with their share prices dropping by 3.32 percent and 3.30 percent to SR22.10 and SR135, respectively. 

On Nomu, the top performer was Leaf Global Environmental Services Co., with its share price surging by 13.29 percent to reach SR110. 

In second place was Intelligent Oud Co. for Trading, which saw an 8.92 percent surge in terms of share price to SR48.25, followed by National Environmental Recycling Co., which saw a 6.71 percent surge in its share price to reach SR8.11. 

Saudi Azm for Communication and Information Technology Co. and Gas Arabian Services Co. also fared well with 6.16 percent and 4.67 percent increases, respectively. 

On the announcement front, United Electronics Co., also known as eXtra, has recommended repurchasing up to 3 million ordinary shares to be held as treasury shares, according to a filing with the Tadawul. 

The board highlighted that the current market price of the company’s stock is below its fair value, prompting the buyback proposal. 

The repurchase will be financed through eXtra’s internal resources, including proceeds from the successful initial public offering of its subsidiary, United International Holding Co. 

Currently, 4.4 percent of eXtra’s share capital is held as treasury shares. The company highlighted that repurchased shares will not carry voting rights at shareholders’ meetings. 

The proposed buyback is subject to approval by the extraordinary general meeting. It will also require compliance with financial solvency requirements outlined in the executive regulations of the Companies Law governing listed joint-stock companies. 

ACWA Power Co. has also submitted a request to the Capital Market Authority to increase its capital through an SR7.13 billion rights issue, according to a bourse filing. 

The company stated that further updates regarding the capital increase will be disclosed in due course. 

Red Sea International Co.’s subsidiary, Fundamental Installation for Electric Work Co., has signed an agreement to increase its credit facilities with Saudi Awwal Bank by SR100 million, according to a statement to Tadawul. 

As a result, the total value of the facilities will rise to SR296.11 million, with the financing period extending until Dec. 18, 2025. 

The agreement includes a promissory note of SR296.10 million signed by Fundamental Installation for Electric Work, Red Sea International, and MSB Holding, as well as Fares Esamet Al-Saadi and Zeyad Al-Sayegh. 

Personal guarantees of SR14.50 million and SR29.01 million were also provided by Al-Sayegh and Al-Saadi, respectively, while MSB Holding and Red Sea International issued corporate guarantees of SR101.56 million and SR151.01 million, respectively. 

The additional credit facilities aim to increase the limit of letters of credit to support the import and procurement of goods for one of the company’s projects. 

United Electronics Co.’s share price increased by 3.05 percent in Thursday’s trading session to reach SR98. 

ACWA Power Co. Saw a 2.13 percent drop in its share price to close Thursday’s trading at SR377.60.

Red Sea International Co.’s share price dropped 1.06 percent to settle at SR0.60 by Thursday’s end.

Topics: Closing Bell Saudi Stock Exchange (Tadawul) Tadawul All Share Index (TASI)

Related

Closing Bell: Saudi indices close in green
Business & Economy
Closing Bell: Saudi indices close in green
Closing Bell: Saudi stock market ends in the red at 11,949
Business & Economy
Closing Bell: Saudi stock market ends in the red at 11,949

Latest updates

Suspect in German Christmas market attack was ‘not quite what many rushed to assume’, veteran British journalist says
Suspect in German Christmas market attack was ‘not quite what many rushed to assume’, veteran British journalist says
Learner Tien’s ‘victory royale’ sets him up for promising 2025
Learner Tien’s ‘victory royale’ sets him up for promising 2025
Syria’s new rulers name Asaad Al-Shibani as foreign minister, state news agency says
Syria’s new rulers name Asaad Al-Shibani as foreign minister, state news agency says
US delegation to Syria says Assad’s torture-prison network is far bigger than previously thought
US delegation to Syria says Assad’s torture-prison network is far bigger than previously thought
Bella Hadid promotes Orabella for festive season
Bella Hadid promotes Orabella for festive season

Search form

Print Edition
Read pdf version Subscribe now
© 2024 SAUDI RESEARCH & PUBLISHING COMPANY, All Rights Reserved And subject to Terms of Use Agreement.