Venture

Startup Investments and Acquisitions Reach $126.6 Million..Education and Deep Tech Leading the Way

During the third week of October 2025

The third week of October 2025 witnessed significant activity in the Arab region’s venture capital landscape, marked by a series of strategic deals that reflected the sustained growth momentum across fintech, artificial intelligence, and enterprise technology sectors.

Total disclosed funding during the week reached around $126.6 million (approximately SAR 475 million), spread across investment and acquisition deals in Saudi Arabia, the UAE, Kuwait, Morocco, and Tunisia, in addition to new institutional alliances aimed at strengthening the region’s innovation ecosystem.

entArabi report, titled “Startup Investments and Acquisitions in the Middle East and North Africa”, covering the period from October 19 to 26, 2025, highlights the most notable funding rounds and institutional developments shaping the Arab entrepreneurial scene.

The week underscored continued momentum in funding AI-driven startups, which increasingly use artificial intelligence as a core component in their business models—particularly in HR management, enterprise operations, and influencer marketing.

Both Saudi Arabia and the UAE emerged as the main hubs for major deals, supported by mature investment environments and government-backed digital transformation initiatives.

Meanwhile, the entry of major entities such as Mirak Capital, Aayan Leasing, and the University of Dubai into new projects and investment funds reflects the growing institutional involvement in fostering innovation and entrepreneurship across the region.

Additionally, the participation of programs like Madica indicates rising investor confidence in Arab and African startups, as they increasingly integrate into the broader regional venture capital landscape.

The data reflects a clear AI-led investment trend sweeping across the region, with startups leveraging automation, data intelligence, and cloud-based models to transform operations across multiple sectors.

Saudi Arabia and the UAE continue to dominate both in deal volume and value, driven by sustained digital transformation initiatives and strategic capital allocation toward high-impact technologies.

The increasing role of institutional investors such as Mirak Capital, Aayan Leasing, and Significa Ventures signals a deepening maturity in the region’s venture ecosystem—bridging traditional capital with emerging innovation.

At the same time, early-stage programs such as Madica are reinforcing cross-border collaboration between African and Arab startups, laying the groundwork for a more interconnected and globally competitive innovation landscape.

Key Deals

Cercli (UAE):

Raised $12 million in a Series A round led by Picus Capital, marking the German investor’s first regional deal.

TabSense (Saudi Arabia):

Closed a $5 million funding round led by Jasoor Ventures to expand its smart platform for restaurants and cafés.

1001 AI (UAE):

Secured $9 million in a round led by CIV, General Catalyst, and Lux Capital to advance operational AI solutions.

3iQ & Further Ventures (UAE):

Launched a multi-strategy institutional hedge fund to enhance trust in digital assets.

University of Dubai & Significa Ventures (UAE):

Announced the launch of “Dubai TechX”, a $27 million (AED 100 million) fund supporting emerging deep-tech and education startups.

Mirak Capital (Saudi Arabia):

Invested SAR 100 million ($26.6 million) in Arsann, a company specializing in smart parking and urban mobility solutions.

Aayan Leasing (Kuwait):

Acquired a strategic stake in Dawii, a digital health services platform.

Anavid (Tunisia):

Raised $200,000 in a pre-seed round from Madica, a program by Flourish Ventures.

Hypeo AI (Morocco):

Secured $200,000 from Madica to enhance its cloud-based AI influencer marketing platform.

 Investment & Acquisition Distribution by Country

Country Number of Deals Total Disclosed Investment (USD)
United Arab Emirates 3 $48.0 million
Saudi Arabia 2 $31.6 million
Kuwait 1 Undisclosed
Tunisia 1 $0.2 million
Morocco 1 $0.2 million
Total 8 deals ≈ $80 million disclosed + undisclosed institutional investments

Investment Breakdown by Sector or Activity

Sector / Activity Number of Companies Total Disclosed Funding (USD)
Artificial Intelligence & Operational Tech 3 $26.2 million
HR & Enterprise Management 1 $12.0 million
Smart Hospitality & Retail 1 $5.0 million
HealthTech 1 Undisclosed
Fintech & Digital Assets 1 Undisclosed
Smart Infrastructure & Mobility 1 $26.6 million
Education & Deep Tech 1 $27.0 million
Total (Approx.) 9 companies ≈ $96.8 million disclosed + undisclosed deals

العربية (Arabic) To read the article in Arabic, click here

Mohamed Yahya

Startup Investments and Acquisitions Reach $126.6 Million..Education and Deep Tech Leading the Way

صحافي اقتصادي، يغطي أخبار الأسواق والاستثمار وريادة الأعمال، ويقدّم تحليلات معمّقة تعكس تطورات الاقتصاد في المنطقة العربية
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