Home Startups Egypt’s WaffarX secures funding from US Lobby Capital for expansion.

Egypt’s WaffarX secures funding from US Lobby Capital for expansion.

by Weddy Thuranira
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WaffarX, the MENA region’s first cashback shopping service, has secured a multi-million dollar funding round led by Silicon Valley venture capital firm Lobby Capital, which is making its first investment in the region.

The endorsement  by Lobby Capital, based in San Francisco, is significant for WaffarX. Lobby Capital has a track record of investing in successful cashback platforms, having been an early investor in Ebates, a US firm that was sold to Rakuten in 2014 in what was Japan’s largest ecommerce deal at the time.

The funds will be used to expand WaffarX’s platform, drive user acquisition, and expand into new markets in the MENA region.

WaffarX, founded in 2018 by Ezz Fayek, Mahmoud Montasser, and Ahmed Kamal, provides cash back rewards using cutting-edge technology, allowing shoppers to save money on every dollar they spend. Brands can use WaffarX’s secure channel to direct advertising spend to consumers in the form of cashback rewards. Customers monetize their own data rather than relying on third parties, which increases brand loyalty.

Consumers prefer seamless, personalized engagement over interruptive advertisements, and they want easy-to-achieve, tangible cash rewards that turn everyday transactions into savings. Brands are looking for low-cost digital advertising solutions and loyalty programs that prioritize customers and resonate with them. Customers can then be enticed without having to pay a discount or devalue the product.

WaffarX has experienced tremendous growth, with over 260 merchant partners and over 450,000 members. The company’s cutting-edge technology meets the needs of modern consumers and merchants/brands, resulting in a win-win situation for both.

David Hornik, General Partner of Lobby Capital highlighted  “At Lobby Capital, we know the power of the cashback shopping model to drive growth for merchants, savings for consumers, and positive returns for investors. We also know the benefit of working with great founders like Ezz Fayek. We are very excited that the right business model and right people can come together for Lobby’s first investment in the region.”

 In light of this pivotal moment Karim Beshara, General Partner at initial investor A15 concluded “As early investors in WaffarX we are excited to see their continued success. Ezz and the team have been thought leaders in the cash backspace in Mena and we are excited to see how they continue to innovate and bring new, exciting products to market.”

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