Cairo-based food ordering and delivery platform Elmenus has raised USD 10 million in a pre-Series C funding round from leading Egyptian payments firm Fawry, the company announced in a statement. New York-based hedge fund Luxor Capital and Egyptian property developer Marakez also participated in the deal. Luxor has previously backed companies like Zomato, Glovo, and Gopuff. Elmenus is its first investment in the Middle East. The round takes the total capital raised to date by the Egyptian startup to about USD 20 million.
Founded in 2011 by Amir Allam, Elmenus helps people discover and order food from over 12,000 restaurants in Egypt. The startup originally hosted restaurant listings and expanded into delivery with its own fleet a little over 18 months ago. Its food ordering business has grown over 400% year-over-year compared to 2020, Amir told MENAbytes, adding that the company has also achieved gross profitability. He said that they have been able to do this because of the strong foundation provided by their hosted restaurant listings. The platform currently serves 1.5 million users in Egypt.
In a statement, Amir said, “Attracting new investment from Fawry, Luxor Capital, and Marakez—following the endorsement of industry veteran David Buttress earlier this year—validates Elmenus’ unique strategy. We are accelerating the adoption of online ordering while enabling restaurants with new verticals to help them scale. This funding demonstrates investors’ strong belief in our position in Egypt and our capability to dominate the market.”
The investment by Fawry is part of its new strategy to acquire minority stakes in fast-growing Egyptian startups. The company will work closely with Elmenus to develop solutions for restaurants and consumers in Egypt, noted the statement, without sharing the specifics.
Ashraf Sabry, CEO of Fawry, said, “Fawry is looking forward to its journey with Elmenus, working closely with the executive team and entering many ventures together. With this investment, we show our desire to not only be a payment catalyst but also a strategic partner to Elmenus, its customers, restaurants, and its riders. The Egyptian food space has high growth potential, with technology disrupting the status quo, as customers’ needs in food service provision rapidly change.”
Elmenus will use the funds to expand to more cities in Egypt and personalize the ordering and delivery experience for its customers. Part of the money will also be used for different tools to help restaurants scale.
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This article was originally published on MENAbytes.
