Riyadh-headquartered fintech startup Hala has secured significant contemporary funding from leading global private equity firm TPG, according to a report by The Data last week. While the startup has not yet publicly announced this deal, it marks a notable development in its growth trajectory. The specific details of the investment remain undisclosed, but the report indicates that Hala secured the funding earlier this year from TPG, a US-headquartered firm with over $220 billion in assets under management and investments in prominent companies such as Spotify, Airbnb, Box, and Calm.
Founded in 2018 by Esam Alnahdi and Maher Loubieh, Hala—originally known as Halalah—began as one of the first mobile wallets in Saudi Arabia. It has since pivoted to providing financial services to SMEs, primarily targeting retail merchants, with the ambition of becoming a comprehensive financial institution for small- and medium-sized businesses in the Kingdom.
Hala’s last disclosed financing round was a $6.5 million Series A in 2021, led by Saudi venture capital firm Impact46. The latest funding from TPG signifies a major milestone for the startup as it continues to expand its offerings and market presence.
Currently, Hala offers a suite of financial products tailored to SMEs, including a business checking account, POS solutions (both through a physical device and a software-based POS that converts any mobile device into a POS terminal), and debit cards equipped with expense management controls. These products aim to simplify inbound and outbound payments for SMEs, enhancing their operational efficiency.
In addition to serving SMEs, Hala also caters to freelancers certified by the Saudi HR Ministry, providing them with bank accounts, debit cards, and payment acceptance solutions. The fintech company claims to serve over 100,000 merchants with its POS solutions, driving an annual transaction volume exceeding $18 billion.
Further solidifying its position in the fintech landscape, Hala recently acquired a license from the Saudi Central Bank to offer debt-based crowdfunding solutions. This complements its existing Electronic Money Institute (EMI) license, making it one of the first local fintechs to receive such accreditation.
As Hala continues to innovate and expand its services, the latest funding from TPG is expected to accelerate its mission to support the financial needs of SMEs and freelancers in Saudi Arabia.
