Egyptian fintech Sahl raises $6 million in a joint Seed and Series A funding rounds
A Cairo-based fintech Sahl, which helps households pay their utility bills has raised $6 million in a joint seed and series A funding round. The company will leverage these funds to refine and develop new offerings as it looks set to evolve into a comprehensive financial services provider.
The funding round was led by Ayady for Investment and Development, a leading Egyptian investment firm with a strong track record in supporting innovative startups. The investment company was joined by existing investors Egypt Pay, Delta Electronic Systems, and E-Finance on the cap table.
Speaking about the funding, Hazem Kamel, Managing Director of NI Capital—Private Equity and Investment Manager of Ayady for Investment and Development the company’s investment was a reflection of their belief in the startup’s capacity to redefine bill payments in Egypt.
“We are excited to announce our investment in Sahl. This strategic move reflects our firm belief in Sahl’s capacity to redefine the landscape of bill payments in Egypt, fostering greater financial accessibility and convenience for all,” Mr Kamel said.
How Sahl is looking to redefine bill payment
Founded in 2020 by Ahmed Othman, Ibrahim Assal and Abullah Assal, Sahl is a bill payment platform that allows users to recharge prepaid cards. The fintech plans to become a one-stop shop for household bills in collaboration with government entities. The company prides itself as one of the few Egyptian companies directly integrating with several government entities.
The company says its strategic vision is to become the dominant player in facilitating digital payment transactions within Egypt’s booming EGP 2.5 trillion digital payments sector. They aim to achieve this by capturing a significant portion of collections on behalf of utility companies, a segment representing a sizeable EGP 250 billion annually. To solidify its leadership position, Sahl plans to forge strategic partnerships that unlock new distribution channels, collaborative technology ventures, and co-marketing opportunities.
Speaking about its plans, CEO, Abdullah Assal, said the startup is addressing challenges that consumers face across different sectors.
“At Sahl, we are committed to addressing the challenges faced by consumers in utility payments, starting with electricity and expanding to water, gas, telecom, and various other essential services. Our innovative use of NFC technology eliminates the need for consumers to leave their homes to charge prepaid cards, saving valuable time and effort,” he said.
Sahl is also one of the few Egyptian companies directly integrating with several government entities. This integration allows its users to conveniently access services from the Egyptian Electricity Holding Co. (EEHC), the New Urban Communities Authority (NUCA) for water, all telecom operators in the country (Vodafone, WE, Orange, and Etisalat), Petrotrade for gas, Cable Network Egypt for TV subscriptions, and many more.
The startup’s Chief Performance Officer, Ahmed Othman noted that “Sahl is our direct contribution to offering a world-class experience in terms of reliability & UX in a market that has always compromised the end user.”
Since its inception in 2020, Sahl has become a major player in the Egyptian fintech landscape, serving over 12 million customers monthly and 15 million households in Egypt. Through the app, users can get access to a suite of bill payment services for consumers, encompassing essential utilities like electricity, water, and gas, along with telecommunications top-ups, tuition fees, television subscriptions, and donations, saving the user around 30 minutes on each transaction. They process billions of Egyptian pounds through a diverse range of 50+ services.
Recently, Sahl has been strategically expanding its reach beyond direct-to-consumer (B2C) functionalities by catering to the business-to-business (B2B) sector through two distinct product lines. The Services Gateway functions as a central hub, aggregating bill payment services for other payment processors, digital applications, and various enterprises, fostering a more interconnected financial ecosystem. The Acceptance solution empowers businesses to seamlessly accept online payments, further streamlining financial transactions.
“We developed the world’s first mobile solution for charging utility metres using NFC technology.” Said Ibrahim Assal, CTO.
The company’s founders boast a proven track record of disrupting the financial services and payments landscape in Egypt with each member bringing a unique skillset that is critical to their ambitious vision. CEO, Abdullah Assal, brings deep industry knowledge as VP at Globaltronics, a dominant player in Egypt’s utility metre market. CPO, Ahmed Othman, was an investment banker at CI Capital. Ibrahim Assal, gained experience at tech giants like Palantir, Careem (an Uber company), and Microsoft and will be driving the company’s tech direction.
The company said it will leverage the new funds to refine and develop new offerings, prioritising a frictionless, time-saving, and secure user experience. After a successful regional launch in the UAE, the startup plans to further expand its regional footprint further by establishing offices in the KSA and strengthening its position in Egypt and beyond.
See also: Egyptian startups get major boost as Sawari Ventures launches $150 million fund
