Back to the complete issue
Sunday, 22 August 2021

Odiggo lands USD 2.2 mn seed funding, plans Nasdaq IPO

Odiggo lands seven-figure USD seed funding, plans Nasdaq IPO: Egyptian auto startup Odiggo has secured USD 2.2 mn in seed finance as part of the Y Combinator 2021 summer batch, TechCrunch reports. 500 Startups, Plug and Play Ventures, and a number of regional VCs including Seedra Ventures and LoftyInc Capital joined Y Combinator in the round.

An IPO on the biggest tech exchange in the world will help it go global: The company wants to go public on the Nasdaq by 2024, co-founder Ahmed Nasser tells Enterprise. It has ambitions of becoming the MENA region’s first USD 100 bn auto company.

Swvl became the first Egyptian company to announce a Nasdaq listing last month. The transport app will go public in the US through a merger with US SPAC Queen’s Gambit Growth Capital in an agreement that values the company at around USD 1.5 bn.

What’s Odiggo? Co-founded by Ahmed Omar and Ahmed Nasser in late 2019, the tech startup operates an app that allows drivers to connect with suppliers and service providers near them. In return for using its app, Odiggo charges companies 20% commission on every transaction.

New tech, new staff: The company plans to use the funding to further develop its product and integrate new technologies, Nasser told Enterprise. It will also expand its team in Egypt, the UAE and Saudi Arabia.

And it has big expansion plans: The company launched in Egypt and has since expanded to Dubai. Its founders said in June that it is now targeting Riyadh and other GCC countries as part of its regional expansion plans. And following the latest funding round, it's looking beyond MENA. “Once we master the region, we’re going to go for the global competition,” Nasser said.

IN OTHER STARTUP-RELATED NEWS-

Arab Bank has launched its fintech accelerator program in Egypt, the bank said in a statement (pdf). Initially launched in Jordan in 2018, the “AB Accelerator” program will now invest in early-stage Egyptian fintech startups as well as companies involved in other related technology verticals, such as cybersecurity and AI to help them scale their business across the MENA region. Companies can apply to join the program here.

Enterprise is a daily publication of Enterprise Ventures LLC, an Egyptian limited liability company (commercial register 83594), and a subsidiary of Inktank Communications. Summaries are intended for guidance only and are provided on an as-is basis; kindly refer to the source article in its original language prior to undertaking any action. Neither Enterprise Ventures nor its staff assume any responsibility or liability for the accuracy of the information contained in this publication, whether in the form of summaries or analysis. © 2022 Enterprise Ventures LLC.

Enterprise is available without charge thanks to the generous support of HSBC Egypt (tax ID: 204-901-715), the leading corporate and retail lender in Egypt; EFG Hermes (tax ID: 200-178-385), the leading financial services corporation in frontier emerging markets; SODIC (tax ID: 212-168-002), a leading Egyptian real estate developer; SomaBay (tax ID: 204-903-300), our Red Sea holiday partner; Infinity (tax ID: 474-939-359), the ultimate way to power cities, industries, and homes directly from nature right here in Egypt; CIRA (tax ID: 200-069-608), the leading providers of K-12 and higher level education in Egypt; Orascom Construction (tax ID: 229-988-806), the leading construction and engineering company building infrastructure in Egypt and abroad; Moharram & Partners (tax ID: 616-112-459), the leading public policy and government affairs partner; Palm Hills Developments (tax ID: 432-737-014), a leading developer of commercial and residential properties; Mashreq (tax ID: 204-898-862), the MENA region’s leading homegrown personal and digital bank; Industrial Development Group (IDG) (tax ID:266-965-253), the leading builder of industrial parks in Egypt; Hassan Allam Properties (tax ID:  553-096-567), one of Egypt’s most prominent and leading builders; and Saleh, Barsoum & Abdel Aziz (tax ID: 220-002-827), the leading audit, tax and accounting firm in Egypt.