HALA, a Saudi Arabian firm specialising in embedded financial services for micro, small and medium-sized enterprises, has closed one of the region’s largest Series B funding rounds.
The company raised $157m in fresh capital, with the round led by TPG’s Rise Fund and Sanabil Investments, the Public Investment Fund-owned investor. Other participants included QED, Raed Ventures, Impact 46, Middle East Venture Partners, Isometry Capital, Arzan VC, BNVT Capital, Kaltaire Investments, Endeavor Catalyst, Nour Nouf Ventures, Khwarizmi Ventures, and Wamda Capital.
Founded to provide tailored financial products for smaller businesses and freelancers, HALA offers a suite of embedded financial services. Its platform includes business accounts, card issuance, payment and transfer services, point-of-sale systems, financing and corporate cards. The firm currently serves more than 142,000 businesses across Saudi Arabia and processes over $8bn in annual transactions.
The new funding will be used to scale HALA’s embedded finance offerings, particularly lending products designed for MSMEs and freelancers. The company also plans to expand its reach across the region, further strengthening its presence in its home market. Executives noted that the strategy aligns closely with Saudi Arabia’s Vision 2030, which places SMEs at the heart of its economic diversification efforts.
The announcement follows what HALA described as year-on-year growth that demonstrates the scalability and sustainability of its business model. This trajectory has positioned the company to play a greater role in enabling SME participation in the wider economy.
HALA co-founder and chairman Esam Alnahdi said, “This landmark investment is a turning point for HALA, reflecting on our relentless pursuit of innovation and excellence in serving small businesses. We are honored that our new investors recognize the potential of our vision and the impact we aspire to make in the MSME landscape. Our journey is just beginning, and this support fuels our drive to create meaningful change.”
HALA co-founder and group CEO Maher Loubieh added, “We are honored by the continued trust and support of our existing investors – distinguished local and regional business leaders and funds – whose contributions have been instrumental to HALA’s journey so far. At the same time, we are proud to welcome all our new partners, including TPG’s Rise Fund and Sanabil, who, by joining our journey, gave a strong testimonial of the business that the team has built. As we look at the next phase of our growth, we believe that our diverse group of prominent investors bring valuable global expertise and perspective which will elevate our ambitions to execute with even greater scale and impact.”
TPG partner and head of EMEA for The Rise Fund, Yemi Lalude, said, “HALA is uniquely positioned to empower micro and small businesses, a key pillar in the region’s economy, by delivering business owners and their customers a broad and growing set of payment solutions. We are excited to support the HALA team in building a clear leader in this underserved segment. Our investment underscores our belief in the growth potential of this market, the rising demand for robust digital banking solutions, and the critical role entrepreneurs play in shaping the next generation economy, not just though innovation but by creating jobs, expanding access, and delivering meaningful social impact.”
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