Miswag, Iraq’s largest e-commerce marketplace, has raised over $1.6 million in the country’s first Pre-Series A round, on an undisclosed 8-digit valuation. The funding from this round will be deployed to expand the company’s commercial and technological arms to accelerate the company’s revenue growth fivefold by mid-2022.
The funding closely follows its six-figure bridge round last year, bringing the total outside capital raised to nearly $3 million since 2019.
Miswag Founder, Ammar Ameen, said “this round is an important boost to the business that reflects our investors’ trust in our results and their faith in the team. But this is only the beginning. Our goals for Miswag are much bigger, and they are more attainable than ever given the strength of our team.”
The team will be hiring essential roles such as software developers and senior positions in its commercial and financial departments.
“The leadership team at Miswag has the talent, drive, and expertise to build Iraq’s first e-commerce national champion, and we are excited to play a role in helping everyone at Miswag achieve this objective.”Geoffrey Batt, Managing Partner at Euphrates Advisors
Founded in 2014, Miswag was the first e-commerce business in Iraq, and it continues to lead the market for the seventh year in a row. The B2C online shopping market (non-food, non-services) in Iraq is estimated to be around 250K daily transactions with a total monthly value of $150 million, according to Marwan Ahmed, Miswag’s Vice President of Commercial Development and People. “We have barely scratched the surface of Iraq’s untapped market that usually makes their shopping decisions on an ad-hoc basis and is heavily influenced by social media-based businesses,” Marwan stated in discussing the market’s growth potential.
Miswag’s mission is to become the most innovative and efficient tech company in Iraq. Some of Miswag’s key differentiators include guaranteed 24-hour delivery for orders in Baghdad, a multi-layered loyalty program that is integrated with the Takaful initiative to give back to the community, in-house cutting-edge technology, and AI-driven and automated tools to overcome market-specific challenges.
“It’s been exciting to watch Miswag place itself as one of the top technology companies in Iraq amidst some challenging circumstances. The ecosystem has seen a steady rise in recent years through both the creation of new startups but also the entry of regional and international players. I’m confident this will have a positive impact on the ecosystem at large and create more investment in Iraq’s technology sector” says Mohammed Al-Khudairi from Iraq Tech Ventures.
Ammar added “Miswag is a bold, innovative brand that is inspiring to the Iraqi youth. We will continue to be steps ahead of our competitors by delivering high-quality products and excellent customer service to the Iraqi people. These facts translate to higher retention rates and clearly reflect on our numbers and how we are growing.”