Merak Capital, a technology-focused investment firm, announced an investment of SAR 310.8 million (USD 82.8 million) in SHIFT, a comprehensive platform specializing in technology-driven mobility solutions for people and products.
This significant capital injection aligns with Saudi Arabia’s Vision 2030 objectives, aimed at fostering growth and diversification of the economy through the implementation of realization programs across sectors, such as tourism, transportation, logistics, and others.
SHIFT, a leading provider of smart mobility solutions and logistics, offering technology-enabled mobility services, is reshaping the landscape in Saudi Arabia by offering a full suite of services, including car-sharing, chauffeur services, car rentals, last mile and line haul, as well as leasing services. The company, established in 2017 and headquartered in Jeddah, has made substantial inroads, operating across 57 cities in the Kingdom with a formidable fleet of over 12,000 vehicles. SHIFT’s dedication to automating mobility and logistics services aims to achieve greater control, efficiency, and a positive environmental impact.
Moreover, tourism is emerging as an exciting growth area for SHIFT, given Saudi Arabia’s vision to become a global tourism hub. The company’s smart mobility solutions are perfectly poised to support this vision by providing tourists with seamless and innovative transportation options, thereby enhancing their travel experience and contributing to the Kingdom’s tourism sector growth.
The investment, which establishes Merak Capital as a key player in the Kingdom’s economic transformation – aims to empower SHIFT to accelerate the growth and innovation of its intelligent solutions, thereby enhancing efficiency, sustainability, and connectivity across the Kingdom’s mobility and logistics ecosystem.
Abdullah Altamami, CEO of Merak Capital, commented: “We are extremely excited about our investment in SHIFT, a local champion shaping the future of mobility in the Kingdom, led by its trailblazing founder, Khalid Alsulaiman. Our belief in the impact of technology on the mobility of people, products, and business is profound, and with our position and track record as one of the leading technology investment firms in the region, coupled with the innovation and capabilities of SHIFT as a mobility pioneer, we believe this partnership will yield tremendous success for all stakeholders including our partners, investors, and the thriving economy of the Kingdom across multiple sectors, such as tourism, transportation, hospitality, logistics, and more.”
Khalid Al-Sulaiman, Founder and CEO of SHIFT, expressed his enthusiasm for the investment, stating: “We are thrilled to partner with Merak Capital, whose investment validates our innovative approach and commitment to revolutionizing mobility solutions in Saudi Arabia. This partnership will accelerate our growth, allowing us to expand our services and enhance our technology to meet the evolving needs of our customers, particularly within the tourism sector. Together, we are poised to set new standards for efficiency, sustainability, and service excellence, driving towards a future where technology and sustainability create lasting value for our customers, stakeholders, and communities.”
Merak Capital’s recent investment in SHIFT underscores its commitment to fostering innovation. It highlights its active role in leading a SAR 112 million funding round for Jisr, a pioneering human resources platform based in Saudi Arabia. Additionally, Merak Capital is managing a venture capital fund aimed at bolstering the gaming and Esports sectors in the Kingdom, with a SAR 306 million capital at its disposal.
Beyond its investment activities, Merak Capital has garnered acclaim for its inclusion in a Stanford Graduate School of Business Case Study, which delves into the firm’s journey and its vision to leverage the evolving dynamics of the Middle East, particularly the vibrant technology community in Saudi Arabia. These substantial strides signify Merak Capital’s pivotal position in driving innovation, creating job opportunities, and contributing to the sustainable development of Saudi Arabia.
