Angel investors receive 100x return on their Careem investment
STC Ventures, Careem’s angel investor has made a tromping estimated return on investment of $200 million.
The Dubai based ride-sharing app is going through its best period this year, and so are its their investors.
Saudi’s STC Ventures and Oqal Angel Investment Network are both Careem’s Series A Angel investors, and both parties has made 100X return on investment as the company continues to grow.
STC Ventures, Careem's first institutional investor, owned 6.4 percent of the company at the time of the exit and led their $1.7 million SEED round with an investment of $1 million back in 2013.
Arabian Business has made some calculations to predict the return of investment achieved by STC, and the amount is nothing short of $200 million.
Last Monday Uber had also received the required approval from the UAE government to go through with the $3.1 billion Careem acquisition deal that is hoped to take place at the end of this year. This is the largest ever transaction to take place in the Middle East till date.
Careem will still remain an independent brand after the acquisition takes place, and CEO and co-founder Mudassir Sheikha will hold on to his position. A new board will be formed consisting of Careem's Co-founder and Managing Director Magnus Olsson, three other Uber executives and Sheikha himself.
This deal is going to make target involved acquisition in the Middle East and Africa region valued at $103.4 billion.