Investments

Dubai fintech Stake raises $14 million Series A to grow its fractional real estate investment platform

Dubai-based fintech Stake has raised $14 million in a Series A round led by MEVP (Middle East Venture Partners, it announced in a statement today. The round was also joined by Aramco’s Wa’ed Ventures, Mubadala Investment Company, Al Jomaih Holding, a leading Saudi conglomerate with interests in real estate, financial services, energy, automotive, and consumer goods, and Republic, the US-based investing platform that allows users to invest in startups, crypto, and real estate.

The round takes the total disclosed financing raised by Stake to over $26 million. It previously raised an $8 million pre-Series A led by  MEVP and BY Ventures, in 2022.

Founded towards the end of 2020 by Rami Tabbara and Manar Mahmassani, Stake enables anyone around the world to invest in income-generating properties in the UAE with as little as $136 (AED 500), making real estate investments easier and more accessible. The platform helps users generate income in two ways; by receiving their share of monthly rental payments and in the form of capital appreciation when they sell their share in the property or the entire property gets sold.

The investors using the platform can liquidate their shares within Stake’s community during exit windows that occur every six months, as stated on the website, or wait until the property is fully sold.

Since its launch in 2021, Stake has scaled its platform to over 500,000 users from 160 countries, enabling them to invest in the growing real estate sector in the United Arab Emirates. According to its website, it has paid about $4 million in rental income to its users to date.

Stake is now preparing to launch its platform for the Saudi market which will allow individuals outside the country to invest in Saudi real estate. The startup claims it will be the first digital platform to open up Saudi real estate opportunities for international users looking to purchase fractions of local properties.

Rami Tabbara, the co-founder and co-CEO of Stake, commenting on the round, said, “We are grateful to have a top-tier group of investors backing this funding round and placing significant trust in Stake and the future we are building. Having them onboard fortifies our commitment to expanding our product offerings and providing our investors with prime investment opportunities.”

“We believe that the Real Estate investment process needs to be fully digitized and we have only started scratching the surface in our vision of making real estate accessible, transparent, borderless, and liquid,” he added.

Manar Mahmassani, the co-founder and co-CEO of Stake, said, “KSA is forecast to grow by 6% in 2025 making it one of the fastest growing G20 economies in the world. We want to give both our local and international users the opportunity to invest early and participate in that growth.”

“This raise marks a significant moment in our journey, as we expand into this dynamic new market and partner with amazing new shareholders, including some of the strongest institutional and sovereign investors in the region, to advance our mission of empowering everyone to own and build wealth through real estate,” he added.

Walid Mansour, co-founder & co-CEO of MEVP, speaking about the company, said, “What they have achieved in the past 3 years is nothing short of incredible. Their approach to real estate investment is truly innovative and we believe that their talented team, combined with our strategic funding, will propel them to greater success in the region.”

The startup plans to use the fund to support its expansion into Saudi Arabia and fuel its growth in the United Arab Emirates. The startup will also use the money to expand its userbase and investment opportunities on the platform.

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