Chasing sky-high valuations, Dubai bankers switch to tech sector

Chasing sky-high valuations, Dubai bankers switch to tech sector

DUBAI - Faced with deal fees in the Gulf region a fraction of those in markets elsewhere, many Dubai bankers are handing in their notices, attracted by the lure of cashing out, stock options and share grants at startups.

Veteran investment banker Omar Abuinnab is one of them. He left Guggenheim Partners' Middle East unit in December to set up Keyper, a Dubai real estate technology start-up.

Launched in January, Keyper describes itself as a private banker to real estate investors. Such "proptech" companies constitute a burgeoning global industry, which has secured $2.6 billion of global investment in 2019, up from $1 billion in 2016, according to a KPMG report in 2020.

Abuinnab is not alone. Former Moelis & Co banker Youssef Salem moved to Dubai-based transport startup Swvl, which in July announced a merger with U.S. blank-check company Queen’s Gambit. The deal valued Swvl at roughly $1.5 billion.

Amit Agarwal, who was at Goldman Sachs, joined Mideast logistics and trucking technology firm TruKKer as group chief financial officer.

"In the past, people got into investment banking because it was among the highest-paid jobs. Now they're trying to build unicorns," said Abuinnab, referring to companies that are worth $1 billion or more.

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