Kuwait’s ‘Boutiqaat’ in early talks of new funding, potentially closer to unicorn status

According to Reuters, Boutiqaat, Kuwait’s startup in the e-commerce sector, precisely beauty and fashion e-commerce, is reported to be in early talks with financial institutions to raise an amount ranging between $100 and $150 million in its latest round of funding; benefitting from a booming VC market in the region, according to sources familiar with the deal.

The platform is not new to the scene, as it ranks as one of the most valuable tech startups in the MENA region, operating by creating e-shops for GCC and Arab celebrities and influencers on social media, allowing them to sell beauty and fashion products they endorse.

Boutiqaat was founded in 2015, but Abdulwahab Alessa; a Kuwaiti entrepreneur. Today, the platform presents over 25,000 purchasable beauty products on both its app and website.

The platform stated, last year, that they doubled their valuation to $500 million after a fundraising activity, the amount of money raised, however, wasn’t disclosed.

According to an investor who spoke to the group: “They’re in the market to raise money.” He added that the platform could attract venture capital firms and GCC family offices.

The said deal potentially can raise Boutiqaat’s valuation between $800 million to $900 million, coming quite close to the $1 billion unicorn status, as they said.

Last year, the region witnessed a spark in raising venture capital, considering Careem‘s Uber acquisition for $3.1 billion as the most significant tech buyout in the area.

Jay Alammar, a partner at Riyadh’s $500 million tech fund ‘STV,’ has shared: “The central thesis for all of this is that software and digital technology is changing every industry.” He further elaborated as he spoke to Reuters: “Careem’s exit is one indication of that tipping point, and then that gives the signal to investors about the commercial opportunity.”

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