UAE-based car subscription platform invygo, has announced a $10 million Series A funding led by MEVP. The round also included participation from leading financial institutions, including Al Rajhi Partners, AB Ventures and Amana Capital, Palm Drive Capital and existing global investors Signal Peak Ventures and Knollwood Investment Advisory.
This latest round of funding pushes the company’s total funding to over $14.3 million.
“invygo’s vision is to enable financial inclusion at scale by creating access to mobility for millions of people in the MENA region. Car subscription with invygo provides customers with unparalleled convenience and financial flexibility. Since our launch, invygo has achieved leadership in the car subscription category, with 4x average growth annually. Today, we are excited to welcome world-class investors on board as we strengthen our leadership position in KSA and the UAE, along with plans for regional expansion. We offer investors a financially sustainable model which is fit for the current macro-economic environment, and builds confidence in our business,” said Eslam Hussein, co-founder and CEO of invygo.
The MENA region has one of the lowest global motorization rates because of the lack of financial inclusion. With high upfront costs and restrictive financing, a large part of the population in the region are limited from owning a vehicle.
Invygo is on a mission to give access to cars to this underserved population, enabling them to fully live up to their potential but also unlocking economic opportunities for the countries as owning a car has proven to be one of the most powerful economic advantages for families over the past 50 years.
Designed to solve financial inclusion and mobility challenges in the MENA region, invygo is creating alternative pathways to vehicle ownership and new economic opportunities through car subscription.
Founded in 2019 by Eslam Hussein and Pulkit Ganjoo, invygo offers an automotive subscription service, allowing people to choose, drive and swap cars through its app.
invygo is the largest car subscription platform in the region, partnering with leading brands and dealers in the United Arab Emirates (UAE) and Kingdom of Saudi Arabia (KSA).
With this investment, invygo will double down on its presence in KSA and UAE, expand to new regional markets that have low vehicle penetration rates, and invest in its technology, with an updated product design already underway. The company plans to hire 100+ employees across the UAE and KSA in the next 12-18 months, who will join a diverse team from over 22 nationalities.
The $3.1 billion global car subscription market is experiencing rapid growth, and is expected to reach US$ 9.8 billion by 2027. With the GCC’s total automotive market set to touch $46.13 billion in sales by 2026, invygo will continue to disrupt different sub-segments across the automotive ecosystem, unlocking opportunities for the entire industry.
The company is already removing barriers to mobility by offering affordable down payments to its customers. By redefining car financing with its flexible ‘’Subscribe to Own’’ service, invygo allows customers to become car owners with a few taps through one app. With a unique mobile-first customer experience, every invygo car subscriber has access to cutting edge insurance products, as part of a bundled offering that also includes maintenance, servicing and roadside assistance, at no additional charge.
“Around the world, access to mobility has proven economic benefits for entire populations. In our region however, financing challenges have limited the possibilities for car ownership and this is a problem that invygo is solving. Today, we are excited to back invygo as they reimagine the traditional car ownership model and create opportunities for consumers and the industry across MENA,” said Ali Almajthoob, Executive Director at MEVP.
“By combining customer demand and our deep technology expertise, our teams have built a service that is transforming the automotive industry. Today invygo is home to some of the best technology talent in the region who are continuously leveraging and enhancing AI-based data modelling tools to accurately forecast demand, pricing and market growth for optimal market fulfilment.” said Pulkit Ganjoo, co-founder and Director of Data Science at invygo.
Over the next 12 months, invygo’s expansion will create an anticipated annual business growth of 5x. With its completely app-based experience, the company will widen its partnership network of automotive brands and dealers, while ensuring customers benefit from mobility access at the tap of a button.