The African tech ecosystem has been thriving on fintech, logistics, edtech etc., a new sector is gradually rising up to take a place among the others.
Adtech startups in some African regions have caught the attention of investors, who are now betting big on the companies’ growth potential. The latest among them is Egyptian ArabyAds, a growing force in the MENA region’s ad space.
ArabyAds announced that it has raised $30m in a Pre-Series B funding round from AfricInvest, a pan-African investment platform managing multiple alternative asset classes including private equity, venture capital and private credit.
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“We are delighted to welcome AfricInvest as one of our long-term investors and thank them for placing their trust in our vision to build value for all stakeholders in the ecosystem. ArabyAds is committed to transforming the digital advertising landscape with innovation and has been leading the way to deliver performance advertising with its platform offerings,”Mahmoud Fathy, CEO and co-founder of ArabyAds said.
“Our fundamentals are strong, and as one of the fastest and profitably-growing companies in the MENA region, ArabyAds is now looking to expand its presence in newer markets where it can leverage its scalable, secure, and end-to-end platforms to help e-commerce businesses scale effortlessly across the globe,” he said.
The transaction marks the eighth investment for AfricInvest’s Maghreb Private Equity Fund IV, which provides growth capital to small and mid-cap companies to expand regionally and across the African continent, spurring productivity growth and sustainable job creation.
ArabyAds will use the new financing to expand its footprint and further invest it to accelerate its technological advancement and talent acquisition to support the growth.
“This funding round enables us to increase the pace of our international expansion, providing ArabyAds an opportunity to further deliver meaningful technology solutions to e-commerce companies globally. At ArabyAds, our vision is to create a sustainable business with financial prudence and I am sure we will be able to replicate our success story in the new geographies as well,” Gulrez Alam, chief investment and strategy officer at ArabyAds said.
Founded in 2013 in Egypt, with headquarters in the UAE and tech hubs across Egypt, Tunisia, and Jordan, ArabyAds helps advertisers in customer acquisition, retention, and monetization by leveraging its technology platforms for influencer marketing (iConnect), Coupon based advertising (Boostiny), retail media (Ritelo), live commerce (Dmenta), and on-device contextual advertising (Deviceboost).
The startup leverages innovation and delivers measurable results to its advertisers with data-led, transparency-first & omnichannel marketing.
Skander Oueslati, chief investment officer at AfricInvest says the investment is in line with the company’s goal to disrupt the adtech industry through innovative technology.
“We are pleased to partner with ArabyAds at a time when the technology company is looking to further disrupt the AdTech industry through its transformative technology platforms. ArabyAds has established a strong brand and excellent reputation in the MENA region and is widely recognized for its reliability and expertise in digital marketing and advertising,” he said.