Saudi Arabia’s startup scene is heating up, with major investments pouring into AI and food tech ventures. Homegrown companies like Foodics and Calo are leading the charge, attracting regional and global interest as they scale rapidly and prepare for IPOs—signaling the Kingdom’s emergence as a serious player in the global startup ecosystem.
Riyadh-based startups like Foodics and Calo attract major investments and eye IPOs as the Kingdom emerges as a powerhouse for tech-driven innovation
Saudi Arabia’s startup ecosystem is accelerating at an unprecedented pace, led by surging investments in artificial intelligence, food tech, logistics, and wellness. The first half of 2025 has seen high-impact funding deals and expansion strategies that underscore the Kingdom’s ambition to become a regional and global startup hub.
One of the standout stories is Kamco Invest’s recent stake acquisition in Foodics, a leading Saudi-based restaurant technology and payments platform. Though the transaction was completed in Q4 2024, it was only recently disclosed, aligning with Kamco’s strategic focus on high-growth, IPO-ready tech businesses across the MENA region.
Founded in 2014, Foodics serves over 33,000 restaurants with a 2024 gross merchandise value exceeding $10 billion. The cloud-based platform offers an all-in-one solution for managing orders, operations, finances, and capital access. With a public listing on Tadawul expected within the next two to three years, Foodics is firmly positioned as a regional tech champion.
Kamco Invest Director of Private Equity, Dalal Al-Shaya, commented:
“We are proud to back a regional tech leader like Foodics. Its innovation, scale, and growth potential mark it as a clear standout in MENA’s startup ecosystem.”
Meanwhile, Saudi food tech startup Calo closed a $39 million Series B extension round led by AlJazira Capital, bringing its total Series B funding to $64 million. Following an earlier $25 million tranche in December 2024, the round was significantly oversubscribed due to high investor confidence.
Calo, now labeled the world’s fastest-growing meal subscription platform, delivered over 10 million meals in 2024 and reports nine-figure annualized revenue. With an expanding international presence—including the UK and Oman—and more than 5,000 customers on a waiting list in Oman, Calo is scaling fast.
CEO Ahmed Al-Rawi emphasized the role of AI in Calo’s growth, saying:
“We’re living in a transformative moment where AI is reshaping how we eat. Calo is committed to leveraging that innovation to build the future of personalized nutrition.”
To support its European expansion, Calo acquired UK-based companies Fresh Fitness Food and Detox Kitchen, fully integrating their operations. The startup also announced partnerships with Armah Sports Co. and appointed Armah founder Fahad Al-Hagbani to its board.
With localized leadership across the GCC and IPO plans underway, Calo’s rise underscores the growing maturity of Saudi Arabia’s startup environment.
From AI-powered food tech to IPO-ready platforms, these developments highlight how Saudi Arabia’s innovation economy is shifting from promise to performance.
