Peter Thiel’s Valar Ventures backs $20m series A of Dubai investment platform

Baraka, an investing platform, has raised US$20 million in a series A round led by Valar Ventures, with Knollwood also participating. Baraka has so far raised a total of US$25 million.

Feras Jalbout, the founder and chief executive officer of Baraka / Photo credit: Baraka

Launched in 2021 by Feras Jalbout, the Dubai-based startup allows users across the Middle East to invest commission-free in over 6,000 US stocks and exchange-traded funds with a minimum invent of US$1.

Baraka also gives users access to daily financial news in English and Arabic, aiming to raise financial literacy standards.

The fresh funds will be used to solidify the firm’s presence across the Gulf Cooperation Council countries and Egypt, accelerate customer acquisition, and bump up staff across key departments.

Baraka also plans to add more features to its platform over the next 12 months, including access to dividend reinvestment plans and extended trading hours, among others.

Most of the funding will be put into new markets and for bolstering access to local stock exchanges – such as Saudi Arabia’s Tadawul – for regional investors.

Tadawul raised US$4.7 billion through 27 new listings in the first half of 2022, making it the leading exchange in the region.

Middle East exchanges have seen a nearly 300% increase in IPOs this year, with retail investors spearheading a 16% increase in the Middle East’s total assets under management to US$1.2 trillion.

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