First Saudi tech startup that could go public picks HSBC for IPO

saudi hsbc tech startup ipo
Saudi Arabia

First Saudi tech startup that could go public picks HSBC for IPO

Saudi food delivery firm Jahez has hired HSBC Holdings’ local unit to help manage what could be the first listing by a tech startup in the kingdom. Jahez International Company for Information Technology picked HSBC Saudi Arabia as the sole financial adviser and global coordinator for its potential IPO on Nomu, the Saudi stock exchange’s secondary market, which imposes lighter listing requirements to encourage smaller businesses and startups to raise equity. Founded in 2016, the homegrown firm serves around 2 million customers in the kingdom, and processed about 20 million restaurant orders through its app in 2020, it said on Monday, without disclosing details about its potential valuation. It closed a $36.5m funding round last year. “We will continue to expand our platform to tap into new growth opportunities offered by rapid, technology-enabled changes in consumer behaviour, both in Saudi Arabia and in the wider region,” said Ghassab Al Mandeel, chief executive officer at Jahez. Food delivery companies have been flooded with cash from investors betting the pandemic brought a permanent shift in shopper habits. Startups including Turkish retail delivery app Getir and Berlin-based grocery delivery app Gorillas have rapidly hit billion-dollar valuations. In the UK, Deliveroo raised GBP1.5bn ($2.1bn)

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