Electronics marketplace Autobia fails funding round; Brookfield enters MENA market

Fundraising activity in the Gulf in the first week of June was marked by two major deals for startups in Saudi Arabia. It includes funding raised by an automotive aftermarket startup called Autobia.
Also, UAE-based fintech firm Network International signed a $2.76 billion acquisition agreement with Canada’s Brookfield Asset Management.

In another deal, a wholesale flower distributor in Saudi Arabia was acquired by a business-to-business flower marketplace in the UAE Florano The amount is unknown.The transaction is expected to generate synergies FloranoSupplies in the area.

Meanwhile, data from Wamda suggests that venture capital activity in the Middle East and North Africa (Mena) recovered in May, with $445 million worth of deals spread across 39 deals, compared with the 700 million raised in 11 deals reported last month. Ten thousand U.S. dollars.

Autobia, the Saudi Arabia-based online marketplace for car aftersales and spare parts, has raised $2.5 million in seed funding led by Sadu Capital to scale up operations.

Other seed investors include Wa’ed Ventures, Raz Holding, Techstars and a group of angel investors.

Founded in 2021 by Emad Daghreri and Ahmed Alawfi, Autobia is a B2B platform for retailers and repair shops to order wholesale spare parts through its app. The funding is aimed at fueling Autobia’s expansion in Saudi Arabia, adding new segments in the aftermarket industry, acquiring talent and developing technology.

In a bid to expand in the MENA market, Brookfield Asset Management has entered into an agreement to acquire UAE-based technology-enabled payments provider Network International.

Network International provides card and processing, fraud, loyalty and bill payment solutions in 50 markets in the MENA region. The deal comes a year after Brookfield acquired a 60% stake in First Abu Dhabi Bank (FAB) – Magnati’s payments business.

Brookfield manages $5 billion in assets in the Middle East. The deal will be financed through an equity portfolio, with Brookfield Business Partners expected to invest about $150 million, according to the company.

The balance will be funded by Brookfield Institutional Partners, with equity funding provided by subsidiaries of First Abu Dhabi Bank (FAB), Mubadala Investment Company, ADQ Developmental Holding and Hana Investment Company.