COFE Tech Raises Pre-IPO Funding at $178M Valuation, Targets Saudi IPO by 2029

Ali Al Ebrahim, COFE Tech founder & CEO

COFE Tech has closed a pre-IPO funding round valuing the Gulf enterprise technology company at $178 million. Backed by Wa’ed Ventures, Aditum Investment Management, Masarrah Investment Company and Alyasra Foods, COFE Tech plans to expand its agentic AI procurement and commerce platform and target a Saudi Exchange IPO by 2029.

What is COFE Tech and what did it raise?

COFE Tech, formerly known as COFE APP, has closed a pre-IPO funding round at a $178 million valuation, positioning the Gulf enterprise technology company for its next phase of regional expansion.

The funding was announced at LEAP 2026 in Riyadh and was co-led by Wa’ed Ventures, the domestic venturing arm of Saudi Aramco, and Aditum Investment Management, alongside Masarrah Investment Company and Alyasra Foods.

The round supports COFE Tech’s transformation from a consumer coffee marketplace into an agentic AI enterprise technology company providing procurement and commerce infrastructure to more than 1,000 businesses across the Gulf.

The company is also targeting an initial public offering on the Saudi Exchange by 2029, aligning its growth strategy with the objectives of Saudi Vision 2030.

“Too many companies in our region still run procurement, sales and inventory on systems that do not talk to one another, and that gap costs them efficiency at every step,” said Ali Al-Ebrahim, Founder and CEO of COFE Tech.

According to Al-Ebrahim, COFE Tech’s platform is designed to connect these functions through intelligent agents that can monitor business operations, anticipate requirements and take action before supply shortages or customer delays occur.

Who invested in COFE Tech’s $178M pre-IPO round?

The latest funding brings together strategic and institutional investors with exposure to Saudi Arabia, the wider GCC and global financial markets.

Investor	Role / Positioning	Relevance to COFE Tech
Wa’ed Ventures	Domestic venture arm of Saudi Aramco	Supports COFE Tech’s expansion and potential Saudi market growth
Aditum Investment Management	Regional investment platform with operations in the UAE and Saudi Arabia	Backing COFE Tech’s enterprise technology and regional expansion
Masarrah Investment Company	Saudi investment company	Providing patient capital for the company’s next growth stage
Alyasra Foods	Kuwait-based food and distribution group	Strategic support for COFE Tech’s regional expansion

Wa’ed Ventures CEO Anas Algahtani said the company has demonstrated an ability to evolve from a consumer marketplace into an enterprise technology platform addressing procurement and commerce challenges.

Aditum Investment Management executives Manoj Mahadev, Head of Investments, and Sonali Goila, Head of VC, highlighted COFE Tech’s expansion across key regional markets, growing enterprise business and developing governance framework as factors behind the investment.

For Masarrah Investment Company, the investment reflects a focus on providing patient capital to companies moving into more ambitious stages of development.

Meanwhile, Yousef Nasser Alfulaij, Head of Real Estate and Projects at Alyasra Group, pointed to COFE’s ability to enter new markets and build from its Gulf base as key drivers of its participation.

How is COFE Tech using agentic AI for enterprise procurement and commerce?

COFE Tech’s business now operates across two principal enterprise technology tracks: Agentic Procurement and Agentic Commerce.

1. Agentic Procurement

COFE Tech describes Agentic Procurement as a unified enterprise procurement infrastructure solution designed to bring procurement workflows into a connected intelligent platform.

The objective is to allow AI agents to monitor operational requirements, anticipate purchasing needs and support decisions across enterprise procurement.

2. Agentic Commerce

The company’s second business line, Agentic Commerce, provides unified enterprise technology infrastructure designed to connect commerce-related operations.

Both enterprise businesses operate alongside COFE Tech’s direct-to-consumer marketplace, which remains the environment in which the company originally developed and tested its technology.

According to Shahood Siddiqui, Chief Technology Officer at COFE Tech, the platform is built around a single core architecture that allows businesses to begin with one workflow and expand across their wider operations without changing platforms.

“COFE Tech is built as one core with two engines,” Siddiqui said, describing the architecture as flexible enough for enterprises to extend from individual workflows across their operations.

This shift from marketplace technology to enterprise infrastructure is central to COFE Tech’s current growth strategy.

How many businesses does COFE Tech serve across the Gulf?

COFE Tech currently serves more than 1,000 clients across approximately 3,000 outlets in Saudi Arabia, Kuwait and the United Arab Emirates.

Its customer base spans multiple industries, including:

• Coffee shops and restaurants
• Hotels and hospitality
• Hospitals and healthcare
• Education
• Aviation
• Corporate enterprises

The company says its customers include Emirates, Etihad Airways, Kuwait Airways, Al-Futtaim Group, Kuwait Finance House, the Central Bank of Kuwait, stc, Aramco and Alibaba Cloud, among others.

This customer base gives COFE Tech exposure to enterprise procurement and commerce workflows across several major sectors in the GCC.

How did COFE Tech evolve from a Kuwait startup into an enterprise AI company?

COFE Tech was launched in Kuwait in 2018, initially operating as a consumer-focused coffee marketplace.

Since then, the company has expanded into Saudi Arabia and the UAE, while broadening its technology offering beyond consumer transactions.

Its current strategy is built around turning the infrastructure developed through its marketplace into enterprise software capable of managing procurement and commerce workflows.

Al-Ebrahim said the company’s expansion was enabled by the business and innovation environments in Kuwait, Saudi Arabia and the UAE, describing COFE Tech as an example of how Gulf markets can support technology companies in building and scaling regionally.

The company’s progression can be summarized as:

2018: COFE launches in Kuwait → Gulf expansion: enters Saudi Arabia and the UAE → Enterprise transition: expands beyond its consumer marketplace → 2026: reaches 1,000+ business clients and a $178M valuation → 2029 target: potential IPO on the Saudi Exchange.

Why is Saudi Arabia important to COFE Tech’s next growth phase?

Saudi Arabia is central to COFE Tech’s expansion strategy and potential public-market ambitions.

The company’s latest investment includes Wa’ed Ventures, the venture arm of Saudi Aramco, while its stated objective is to pursue an IPO on the Saudi Exchange by 2029.

The planned listing would place COFE Tech within Saudi Arabia’s increasingly important technology and capital-market ecosystem while supporting the company’s broader ambition to scale across the MENA region.

For Wa’ed Ventures, the investment also reflects the potential to deepen COFE Tech’s presence in Saudi Arabia and develop the company into an institutionally prepared technology business with long-term regional relevance.

What does COFE Tech’s $178M valuation mean for its growth strategy?

The $178 million valuation gives COFE Tech a stronger capital base as it moves from its consumer-marketplace origins toward enterprise AI infrastructure.

Rather than positioning itself solely as a procurement software provider, the company is building around a broader model combining agentic AI, procurement, commerce and enterprise infrastructure.

The strategy reflects a wider shift in enterprise software toward AI systems that can move beyond generating recommendations and actively participate in operational workflows.

COFE Tech’s challenge now is to translate its existing footprint of 1,000+ businesses and 3,000 outlets into sustained enterprise growth while expanding across additional MENA markets.

Its planned 2029 Saudi Exchange IPO provides a longer-term milestone for that strategy.

What did COFE Tech’s leadership say about the funding?

Al-Ebrahim said the latest backing reflects investor confidence in COFE Tech’s view of where enterprise software in the Gulf is heading.

He added that the company intends to use that support to continue expanding across MENA.

Shahood Siddiqui, meanwhile, emphasized the technology architecture behind the company’s enterprise offering, noting that its systems are already being used by Gulf enterprises across areas including growth, procurement and finance.

The funding therefore represents more than an expansion of COFE Tech’s geographic footprint. It marks a new stage in the company’s transition from a consumer marketplace launched in Kuwait in 2018 to an agentic AI enterprise platform serving more than 1,000 businesses in 2026.

With a $178 million valuation, backing from strategic and institutional investors, and a stated 2029 IPO target, COFE Tech is positioning its next chapter around enterprise AI infrastructure and deeper integration into the Gulf’s digital economy.

 

 

 

FAQs

1. What is COFE Tech?
COFE Tech, formerly COFE APP, is a Gulf enterprise technology company that provides agentic AI-powered procurement and commerce infrastructure. Founded in Kuwait in 2018, it now serves more than 1,000 businesses across Saudi Arabia, Kuwait and the UAE.

2. How much is COFE Tech valued at?
COFE Tech was valued at $178 million following the close of its pre-IPO funding round announced at LEAP 2026 in Riyadh.

3. Who invested in COFE Tech’s latest funding round?
The round was co-led by Wa’ed Ventures, the domestic venture arm of Saudi Aramco, and Aditum Investment Management, with participation from Masarrah Investment Company and Alyasra Foods.

4. What does COFE Tech’s agentic AI platform do?
COFE Tech provides Agentic Procurement and Agentic Commerce infrastructure. Its platform uses intelligent agents to monitor business operations, anticipate requirements and support or execute workflows across procurement, commerce and other enterprise functions.

5. When does COFE Tech plan to IPO?
COFE Tech is targeting an IPO on the Saudi Exchange by 2029, subject to the necessary market, regulatory and corporate conditions.