noon Raises $500 Million with Backing from PIF and Founder Mohamed Alabbar
noon, the Middle East’s homegrown rival to Amazon, has raised $500 million in new funding from investors including Saudi Arabia’s Public Investment Fund (PIF), according to people familiar with the matter.
The round also included participation from noon’s founder, Dubai-based Mohamed Alabbar, who is also chairman of Emaar Properties, the sources said.
A PIF spokesperson declined to comment, while noon and Alabbar did not respond to requests for comment.
The fundraising comes as noon faces intensifying competition from local and international players expanding in the region to tap into the Gulf’s young, affluent, and tech-savvy population.
This move coincides with a busy period for PIF, which recently led a $55 billion takeover of Electronic Arts and is among the backers of Paramount Skydance’s $108 billion hostile bid for Warner Bros. Discovery, even as it trims budgets for major domestic projects.
Founded in 2016, noon is 50% owned by the PIF, with the remainder held by investors led by Alabbar. The company operates an online marketplace, food delivery service, and grocery delivery platform across Egypt, Saudi Arabia, and the UAE.
Noon launched just months after Amazon acquired Dubai-based Souq.com for $580 million.
The company has previously raised $2.7 billion, and its latest valuation was close to $10 billion, Alabbar told the Financial Times in September. He added that noon is preparing for an IPO within the next two years.
However, the company is facing increased competition. Amazon is expanding further into groceries, while China’s Meituan launched its food delivery service in the Middle East this year and is moving into dark stores. Saudi startup Ninja, which operates quick-delivery grocery stores, raised $250 million earlier this year to accelerate expansion, contributing to a price war as companies fight for market share.
