erad, the Riyadh-headquartered alternative financing platform for SMEs, has partnered with Jefferies with co-investment from Channel Capital to secure 125 million in a credit deal, to accelerate embedded finance solutions across the GCC. Once the transaction is finalised, it will mark Jefferies first GCC asset-backed financing transaction, and will support the firms plans to grow their presence in the Kingdom.
Building on erads strong 6x year-over-year growth and over 700 million in funding requests, the scalable funding facility offers significant expansion capacity to meet growing demand from SMEs in Saudi Arabia and the rest of the GCC. Funds allocated for Saudi SMEs will be deployed through CMA-licensed direct financing funds managed by Erad Partners Capital.
Our partnership with Jefferies represents a transformative moment for SME financing in the region. By embedding financing directly into existing supplier and platform relationships, were making working capital as accessible as a payment transaction. The support from the regulators, Jefferies and Channel Capital, demonstrates the strategic importance of alternative finance in supporting the Kingdoms goal of SME growth.
