MENA Digest: Web3 startup Sentient Labs, Omani firm pocket fat cheques

By Dilasha Seth

  • 19 Jul 2024
Credit: Thinkstock

Dealmaking activity in the Middle East and North Africa (MENA) region was led by two big-ticket early-stage funding deals. Sandeep Nailwal-led UAE-based Web3 startup Sentient Labs and Oman-based Climatech startup 44.01 secured high double-digit investments to scale operations. 

The region also saw at least two acquisitions during the week. Majarra, a UAE-based Arabic digital content provider acquired an Arabic AI technology provider, Lableb, and Muller & Phipps Middle East Group, a MENA-based technology distribution company, fully acquired the UAE-based gaming and esports entity Power League Gaming

Meanwhile, Egyptian fintech startup Dopay raised a Series A extension round, and UAE-based IT solutions provider Swyt raised seed funding. 

Sentient Labs, a UAE-based Web3-focused startup co-founded by Polygon co-founder Sandeep Nailwal, secured $85 million in seed funding in a round co-led by Pantera Capital to accelerate growth. Other investors in the round included Framework Ventures, joined by Arrington Capital, Canonical, Dao5, among other investors.  

Founded in January 2024 by Nailwal, Pramod Viswanath, and Himanshu Tyagi, Sentient Labs is a blockchain-based AI startup that aims to democratize AI development, to ensure that AI benefits humanity as a whole. The startup aims to use the additional capital to back the development of its open-source AI platform. 

Oman-based climate-tech 44.01 raised $37 million in Series A funding, led by Equinor Ventures and Shorooq Partners to fuel global expansion. Other investors that participated in the round include Air Liquide Venture Capital (ALIAD), Alumni Ventures, Amazon’s Climate Pledge Fund, Climate Investment, Innovation Development Oman, Planet A Ventures, Salica Oryx Fund, Siemens Financial Services, and Sumitomo Corporation.  

44.01, named after the molecular mass of CO2, was founded by Talal Hassan, Ehab Tasfai, and Karan Khimji in 2020. It eliminates CO2 from the atmosphere by mineralizing it in peridotite, a type of rock that naturally absorbs CO2.  

The funding will enable 44.01 to continue to refine its technology, develop commercial-scale projects, and expand its deployment internationally.44.01’s technology has been piloted in Oman and the UAE. 

Majarra, a UAE-based Arabic digital content provider acquired an Arabic AI and Natural Language Processing (NLP) technology provider, Lableb, for an undisclosed amount to expand its offerings.  

Founded in 2004 by Abdulsalam Haykal, Majarra is a media-tech company that offers online content platforms in Arabic, available through a single subscription. The platform offers content on management, science, technology, psychology, general health, and finance, among others, in Arabic through the Majarra App. Meanwhile, Lableb, founded in 2017 by Kinda Altarbouch, offers Arabic AI services and Natural Language Processing (NLP). The acquisition is aimed to strengthen Majarra's position in the Arabic digital innovation space and mark its entry into the AI sector. 

Dopay 

Egyptian fintech startup Dopay closed a $13.5 million Series A extension round, led by the US investment firm Argentem Creek Partners to accelerate its market expansion and launch new products.  

The round was an extension of the $18 million Series A round raised in 2021. The latest round also saw participation from its existing investors.  

Founded in 2014 by Frans van Eersel and Ahmed Nassef, Dopay offers a virtual banking platform that digitizes cash payments from employers to workers and other beneficiaries. Dopay aims to utilize the fresh funding to launch a range of new financial services and expand its multi-bank, multi-country platform to other markets. 
 
Muller & Phipps Middle East

Muller & Phipps Middle East Group, a MENA-based technology distribution company, fully acquired the UAE-based gaming and esports entity Power League Gaming, for an undisclosed sum. The acquisition will propel Muller & Phipps Middle East’s expansion within the region and scaling of operations. Muller & Phipps Middle East Group Holdings, founded in the UAE in 2017, will acquire all company assets, while keeping the management team to lead the business. 
 
Founded in 2013 by John Lacey, the UAE-based Power League Gaming offers an end-to-end solution for brands seeking to enter the gaming sector and publishers looking to engage audiences, through Esports events, content creation, or omni-channel ecosystem development. With the acquisition  Muller & Phipps Middle East will launch into Saudi Arabia later this year and scale operations in Dubai. 
 
Swyt 
 
IT solutions provider Swyt secured seed funding from undisclosed investors, as it aims to scale its operations. Swyt, founded in 2022 by Edouard Bouvet, offers an all-in-one platform to simplify and secure IT operations for businesses.  

This seed funding is aimed to propel Swyt's objective of accelerating research and development efforts on its platform and expanding its presence throughout the Gulf region. Its client base across different sectors in the UAE includes Nomad Homes (Real estate) Eyewa (retail), Credable (fintech), The Luxury Closet (e-commerce), and Acquisit (digital sector).