Dubai-based peer to peer lending platform Beehive has raised $4 million as part of its Series B round from Riyad Taqnia Fund (RTF), the startup announced today. The round takes total investment raised so far by Beehive to $15.5 million. RTF had first invested in Beehive in late 2017 by leading the $5 million Series A round. Beehive plans to close the Series B by the end of this year with at least $10 million, the startup told MENAbytes.
Founded in 2014 by Craig Moore, Beehive’s platform connects businesses with investors to help them raise money through peer-to-peer lending. The startup that claims to be MENA’s first regulated P2P lending platform allows investors to invest as little as 1,000 dirham after they’ve registered on the platform. Beehive makes money by charging both businesses and investors 2-4% on principal amount and payments.
The startup plans to use the investment to fuel its expansion into Bahrain and Saudi, its CEO Craig Moore told MENAbytes, “We will be using the investment to fuel the expansion of Beehive into Bahrain & KSA. In addition, we will continue to invest in technology, product development & data analytics to support our Lending as a Service (LaaS) partnership offering. This is a new area of the Beehive business and we recently announced our first partnership with Thanachart bank in Thailand.”
Beehive has already received regulatory approvals in Bahrain and is currently working with the country’s Economic Development Board to launch its platform there.
According to the statement, Beehive since its launch has facilitated funding close to $100 million to more than 450 business funding requests and currently has over 10,000 international retail and institutional investors.
Craig Moore, Founder and CEO of Beehive, speaking about the latest investment, said, “This investment is testament to the success of the Beehive digital model and demonstrates RTF’s continued commitment to our growth. The investment will help us execute the exciting expansion plans we have for the GCC and South East Asia.”
Adel Al-Ateeq, Deputy CEO, Riyad Capital, said, “Beehive has proven itself as a leading fintech pioneer in the region, using innovative digital solutions to improve SME financing accessibility. We’re keen to support their future growth plans which include expansion into Saudi Arabia, bringing new funding options to Saudi businesses.”
Update – Mar 5, 2019 – 6:30 AM GMT: The story was updated with more details.