Egypt’s Capiter Nets $33M for Expansion Across MENA

Cairo-based startup Capiter announced Monday (Sept. 13) that it has raised $33 million in a Series A funding round to expand its B2B eCommerce platform to Egypt, the Middle East and North Africa (MENA) region by 2022, according to a press release.

The B2B marketplace brings together fast-moving consumer goods (FMCG) companies, wholesalers and retailers on a single platform. Retailers can order inventory, schedule delivery and access comprehensive financial services. Capiter’s “economy-changing solution” relies on technology and machine learning to provide brands and manufacturers with robust data and critical insights into the markets they serve, the release stated.

Capiter serves over 50,000 merchants and 1,000 sellers, according to TechCrunch.

Speaking on the funding round, Mahmoud Nouh, who launched Capiter with fellow entrepreneur Ahmed Nouh in July 2020, said the company can customize its application to each buyer’s needs, which provides “profitable insights into locations, walk-in rates, best product types, sales volume and more.” Nouh said that Capiter is working to create “a machine learning model that can actually help the merchant know which inventory items to purchase next,” the release stated.

Read more: Arab Bank to Back Egyptian FinTech, AI and Cybersecurity Startups

Ahmed Nouh, chief operating officer, said that the startup is “well-placed to scale geographically,” enabling “more retailers across the region to use Capiter’s services, while expanding into new verticals like agriculture and pharmaceutical offerings,” per the press release.

The funding round was co-led by FinTech-focused venture firm Quona Capital and MSA Capital with participation from investors, including Savola Group, Shorooq Partners, Accion Venture Lab, Derrayah Ventures and Foundation Ventures.

The investment is Quona’s first foray into the Egyptian market. Quona Co-founder and Managing Partner Monica Brand Engel said that “Capiter’s embedded finance model, combined with its expertise and strong user engagement, can have a dramatic impact on the financial lives of SMEs, helping them optimize their income which helps communities to thrive,” the press release stated.

See more: Egyptian Transit App Swvl Plans Global Expansion

Mahmoud Nouh is also co-founder and former chief operating officer of Egyptian ride-sharing company Swvl. The Dubai-headquartered company became the first $1 billion-plus unicorn from the Middle East to list on New York’s Nasdaq, according to a July press release. The transaction, which is expected to close by the end of the fourth quarter of 2021, makes the company the largest African unicorn debut on any U.S.-listed exchange, a MENAFN report stated in August.