COFE, a UAE-based online coffee marketplace, has raised USD 15 million in funding in a round led by Wa’ed Ventures.
UAE-based online coffee marketplace COFE has raised USD 15 million in a Series B funding round led by Wa’ed Ventures with funding secured from eWTP Arabia Capital, Al Imtiaz Investment Group, KISP Ventures (KFH Capital) and Rasameel Investment Company.
COFE, an online marketplace
COFE was founded in 2018 by Ali Al Ebrahim and is an online marketplace for coffee and related accessories that allows users to order coffee, capsules, beans, coffee machines and associated products from shops or vendors hosted on its platform.
“COFE’s story has been one of resilience. We have had some great opportunities, but not without its challenges that have needed innovative maneuvering,” said Al Ebrahim. Having secured the funds, the company will focus on strengthening its e-commerce offerings, boosting its position in the regional market and expanding internationally in the near future.
Recent acquisitions and partnerships
COFE acquired UAE-based coffee marketplace Sippy Beans in 2021, and in March of 2022 it acquired Saudi Arabian app Kaffeen for an undisclosed sum. COFE entered Saudi in 2020, and has, according to the company, seen widespread acceptance from users in the Kingdom. The company’s app was one of Saudi Arabia’s top 10 most downloaded food delivery and restaurant apps in 2021 and it has partnered with the Saudi Coffee Company (SCC), which was established by the Kingdom’s sovereign wealth fund, the Public Investment Fund. The SCC plans to invest approximately USD 320 million over the next 10 years to invest in Saudi’s national coffee industry, with the goal of boosting the country’s production from 300 tons per year to 2,500 tons per year.
“We partner with like-minded entrepreneurs and support the growth of promising businesses in the GCC region. We believe our investment, combined with strategic assistance, will provide COFE with resources to scale and grow,” Mr Li, founder and managing partner of eWTP Arabia Capital, said.
A growing market
The MENA region coffee market is set to grow at a compound annual growth rate of 7.5% between 2020 and 2025, according to a report by Mordor Intelligence.
Read our exclusive interview with Jamie Brown, the MD of the UAE’s Coffee Planet, here.