Ousta Secured Its First Round of Capital Increase

ArabNet Team, Aug 29 2016

Ousta is the Egyptian ride hailing mobile application, and since its inception, 5 months ago, Ousta has been leading ride expansion in Egypt, and able to maintain its exponential growth, through operating in 11 cities, and 30% weekly growth rate.

Today, the app announced that it has secured USD 1.25 million as a bridge investment round from a syndicate led by experienced Angel Investors and Venture Capitalists from Egypt and the UAE in exchange of a minority stake.

The funding will be used to develop their team, increase availability to satisfy the growing demand of their customers, which will accelerate their penetration and expansion in all main cities in Egypt.

In addition, this syndicate is bringing to Ousta a new level of corporate governance that will help support its expansion plan locally and regionally.

Omar added “We feel passionate towards the shared economy business model, because it fundamentally helps the cities we work in by creating thousands of jobs for both genders, improving household incomes, optimizing personal transportation, and saving customers’ precious time. Our main goal is not just to build a strong and profitable business, but to participate in building better economy.”

“Noteworthy, the on-demand industry is no doubt the future of not just personal transportation, but will bring more great services to Egypt and soon the region. And this financial bridge will be used mainly to maintain its business, while discussing the potential of another significant round of capital increase” as explained by the VC Fund Manager, and Nancy Farag – CEO of Axia Capital the buy side advisor to the VC.

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