UAE investment fintech Baraka lands $20m Series A
UAE-based fintech Baraka has closed a $20 million Series A round led by Valar Ventures.
Dubai-based Baraka lands $20m Series A
Launched in 2021, the commission-free investing platform offers investors access to more than 6,000 US stocks and exchange traded funds (ETFs).
Baraka marks the first regional investment for Valar, a VC firm backed by entrepreneur Peter Thiel. Global investment firm Knollwood also participated in the round. The start-up’s existing investors include Class 5 Global, Global Founders Capital and VentureSouq.
Baraka will use the funding to expand throughout the Gulf Cooperation Council (GCC) states and Egypt. The firm has committed the majority of the cash to entering new markets and broadening access to local stock exchanges for regional investors.
Any extra funds will be used to drive customer acquisition and to accelerate the addition of new features to its app, including dividend reinvestment plans and extended hours trading.
Baraka is working with local stock exchanges and regulators to enable access to local market trading on its app with Middle East exchanges seeing a nearly 300% increase in IPOs in 2022.
Baraka CEO and founder Feras Jalbout says that in the year since its launch, “tens of thousands of users have signed up to Baraka”. He adds the firm is “committed to enabling financial inclusion for millions of investors across MENA”.
