‘The Cloud’ Secures $12 Million in Series B Funding, Aiming for Dominance in KSA, After Acquisition of Leading UK Food Tech Startup KBOX, and Expansion in Europe
- The Cloud, with regional headquarters in Riyadh and present in 42 cities across KSA, embarks on expansion strategy to capture a larger market share in the Kingdom, backed by a $12 million first close of its Series B funding
- Acquisition of KBOX adds 200 locations in the UK to The Cloud’s global portfolio, purchased for an undisclosed amount, signaling a strategic move into the European market with expansion planned in the UK, Lithuania, Belgium, and the Netherlands
- Founder & Chairman Georges Karam, alongside strategic investors, positions The Cloud as a disruptor in the food tech sector, aiming for a dual listing in Abu Dhabi and Riyadh by 2027 with a target of 8,000 locations
Dubai, UAE, 19 February 2024: The Cloud, a Hub71 food tech startup, has announced the successful first close of its $12 million Series B funding round out of a total $30 million it is raising. The funding round saw participation from a new investor, MENA Moonshots, showcasing confidence in The Cloud’s ambitions to innovate and expand.
This milestone, coupled with debt financing from Aluna Partners, and the strategic acquisition of the UK-based food tech startup KBOX, marks a significant stride for The Cloud, founded by Georges Karam, towards redefining the virtual dining landscape in Saudi Arabia, the GCC, and Europe.
With its regional headquarters in Riyadh, The Cloud is dedicated to becoming a dominant player in the Saudi market, leveraging its comprehensive in-house technology to redefine the food industry. The acquisition of KBOX, which expands The Cloud’s footprint by 200 locations in the UK, underscores the company’s commitment to driving innovation and leadership in the food tech sector and sets the stage for expansion in strategic European markets.
The Series B funding, a balanced mix of equity and debt, is a testament to The Cloud’s business model and its vision. Having initially raised $10 million in the Series A funding, this round brings The Cloud’s total funds raised to $22 million, which highlights the company’s capacity to attract strategic partners like MENA Moonshots. The investments extend beyond capital, providing invaluable expertise and access to networks as The Cloud ambitiously eyes new markets and innovative dining solutions.
Georges Karam, Founder & Chairman of The Cloud, shared his enthusiasm for the new developments, stating: “Our Series B funding and the acquisition of KBOX affirm our position as leaders and disruptors in the food tech sector. With a now total of $22 million raised, and as a startup regionally headquartered in Riyadh, our aim is not just to eye new markets but to significantly increase our market share in existing ones, especially within the Kingdom. Our technology, built entirely in-house, and our strategy for further acquisitions reflect our belief in the industry’s consolidation and our vision to scale strong homegrown brands internationally. Looking forward, we continue to actively eye more strategic acquisitions while also seeking to raise further capital.”
Stefano Sciacca, Managing Director at Aluna Partners, said, “The online food delivery market is a mega trend that is here to stay. We believe that The Cloud will gain significant market share in the UK market through the acquisition of KBOX. Having looked at many food tech business models, we believe The Cloud is emerging as a global market leader and are excited to support such a fast-growing venture.”
The Cloud’s ambitious strategy includes expansion within KSA, aiming to solidify its market dominance by increasing its presence and supporting established brands in scaling up. With a presence in 7 countries and 91 cities, and ambitions to reach 8,000 locations by the end of 2027, The Cloud is on track for a dual listing in Abu Dhabi and Riyadh, marking a new era of growth for the virtual chain in the EMEA region.
As The Cloud advances on this growth trajectory, it remains committed to its mission of transforming the global dining experience, empowering restaurateurs, and setting new benchmarks for quality and innovation in the food tech industry.
