Merit — an engagement and loyalty SaaS provider — closed a USD 12 mn pre-series B round, showing strong investor appetite as the company had initially aimed to raise USD 5 mn, according to a press release. Saudi Investment Bank’s wholly-owned subsidiary Alistithmar Capital i-Cap led the round with follow-on investments from Tech Invest Com and Hambro Perks Oryx Fund. Information about the structure of the investment and how much equity the investors will get in return wasn’t disclosed.

This round is more than double the size of its series A: The tech company raised USD 5 mn in a series A round in 2021 from Riyadh-based VC fund Impact46 along with Tech Invest Com, Arzan VC, Hambro Perks Oryx and some unnamed regional angel investors.

The funds will be used to develop the company’s tech stack, the statement reads, without providing further information. The tech company offers five distinctive products to engage, reward and gift customers, employees, and friends. The products cater to B2B and B2C businesses alike.

What’s Merit? Founded in 2016 by Julie Barbier-Leblan (LinkedIn) and Thrishan Padayachi (LinkedIn), the startup has global operations in over 160 countries and has partnerships with more than 6k brands, according to their website. Merit was initially headquartered in Dubai, but moved to Riyadh in March 2023, and has offices in Kuwait, Egypt, UK, and Jordan.

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