Swvl, an Egyptian public transit tech startup, secured USD 8 million in Series A funding to expand its affordable smart mobility services, led by BECO Capital.

Target Company Overview

Swvl, an innovative public transit technology startup based in Egypt, has recently secured USD 8 million in Series A funding. This investment round, which is noted as the largest Series A in Egypt and among the largest in the Middle East, was led by BECO Capital and included participation from Raed Ventures, DiGAME Investment Company, Silicon Badia, Oman Technology Fund, Arzan VC, and Esther Dyson. Founded in April 2017 by Mostafa Kandil, Ahmed Sabbah, and Mahmoud Nouh, Swvl aims to provide a premium alternative to traditional public transportation by facilitating shared rides among commuters traveling in the same direction during peak hours.

Swvl operates a unique model that connects riders to high-quality buses, running fixed routes across Cairo and Alexandria. Riders gather at designated pick-up spots and are transported to common drop-off locations. This model not only reduces commuting costs significantly—by as much as 80% compared to on-demand ride-hailing options—but also enhances efficiency and convenience for users. By addressing various transportation challenges, from surging fuel prices to the traffic congestion that burdens Egyptian cities, Swvl positions itself as a vital solution in the urban mobility market.

Industry Overview in Egypt

The public transportation sector in Egypt faces considerable challenges, particularly due to the rising costs of fuel and the extensive traffic congestion prevalent in major cities like Cairo and Alexandria. The World Bank estimates that traffic congestion costs Egy