A15 sells Viral Wave to Reservoir partner PopArabia

A15 marks its ninth exit with Viral Wave sale

A15 sold its portfolio company Viral Wave to PopArabia, the regional partner of Nasdaq-listed Reservoir, for an undisclosed sum, according to a statement (pdf) from the Cairo-based venture capital firm. The firm's complete exit from the UAE-headquartered music digital distribution company marks its ninth exit.

A sign of wartime regional resilience? Although the acquisition was signed at the tail end of last year before the war began, “we were still able to close the [agreement] despite the recent events,” A15 Principal Bassem Raafat tells EnterpriseAM. While investors may be waiting for the “dust to settle before they make any big decisions,” the company “remains very, very bullish on the long-term prospects of the Gulf,” according to Rafaat, who noted that A15’s general partner, Karim Beshara, was “on a flight to Dubai right now as we speak.”

The region has also shown a longer-term resilience to a global slowdown in exits due to its reliance on strategic M&As — rather than public markets, Rafaat explained. “In our part of the world, the vast majority of venture exits are not through IPOs […] the majority are M&A exits,” which has shielded the Middle East from the impacts of a shut IPO window that had a pronounced impact on Western markets.

The key to a successful exit according to A15? “We focus very much on first principles, the basics.” What’s important is to build something customers want, differentiate yourself from others in the market, continue to grow while keeping the company economically sound, and have a plan to become profitable in a reasonable timeline, according to Rafaat. “When you build something that has strategic value, chances are there will be someone who sees value in acquiring such an asset.”

AI-native books platform Sinai.ai raises EGP 75 mn in a pre-seed round

AI-native books platform Sinai.ai raised USD 1.45 mn (c. EGP 75 mn) in a pre-seed funding round led by Kaust Innovation Ventures and DisrupTech Ventures, among others, Sinai.ai said in a press release. The fresh funding will go toward tech development, AI infrastructure, licensing agreements, and user acquisition.

AI-native books? Since its founding in 2024, Sinai.ai has been developing a reading platform centered around its proprietary aiBook™ format, which turns traditional books into interactive, multimodal experiences, combining text, audio, translations, and interactive exploration. The platform allows users to engage with content in real time to generate summaries, quizzes, and visualizations, all while operating on fully licensed, full-text content sourced directly from publishers.