Beehive raises $5 million from Saudi and Dubai funds
Michael Fahy, Zawya
Peer-to-peer lending platform Beehive has announced it has landed $5 million in Series A funding from Saudi Arabia's Riyad Taqnia fund, with support from the Mohammed bin Rashid Fund - the financial arm of Dubai SME - and several other regional investors.
The company, which specialises in arranging funding for small and medium-sized enterprises (SMEs) in the Middle East, said the investment takes the total amount raised by Beehive since its launch to $10.5 million.
Beehive said it has successfully facilitated more than 200 funding requests from SMEs since it was founded in November 2014, with companies raising a total of around $35 million from investors. Established companies can apply for amounts starting from 100,000 UAE dirhams ($27,216.50) for up to three years.
Beehive founder and chief executive, Craig Moore. Image supplied by Beehive
According to the Beehive website, investors earn an average of 12 percent interest per year for providing capital.
Beehive founder and chief executive, Craig Moore, said: “We’re delighted to have the support of our strategic investors in this latest round, which demonstrates the appetite for investment into fintech businesses in the region and will enable us to further expand the Beehive digital model and drive product and market expansion.”
Adel Al-Ateeq, the acting chief executive of Riyad Capital, said that it is "particularly excited to support the company’s expansion into Saudi Arabia, where it would finance Saudi SMEs".
Abdul Baset Al Janahi, CEO of Dubai SME, who will also be joining the Beehive board, said: “Beehive is a fintech pioneer and we’ve already seen our strategic partnership with them translate into immediate and tangible results for SMEs. Our investment will further strengthen that commitment."