Middle East foodtech start-up Calo has secured $25 million in a new funding round, ahead of plans to launch an initial public offering (IPO) in Saudi Arabia and expand its reach beyond the region.

The company, which specialises in meal subscriptions, raised the fresh round of capital from several investors led by Nuwa Capital. The Series B fundraising saw participation by STV and Khwarizmi Ventures, as well as regional family offices.

Founded in Bahrain in 2019, Calo operates one central kitchen per city and a 200-van fleet. It has delivered 10 million meals this year and has a presence in the UAE, Saudi Arabia, Bahrain, Kuwait and Qatar.

It intends to launch an IPO in the kingdom in 2027 and expand its ready-to-eat meal business beyond the region.

“We’re pressing the gas pedal on product and geo expansion. We’re moving our HQ to Saudi and gearing up towards an IPO,” said Ahmed Al Rawi, Founder of Calo.

The company said the fresh capital will also help it expand into adjacent business lines like retail and venture into M&A, as part of a global expansion strategy. It is looking to fill leadership positions to support expansion and IPO plans.

(Writing by Cleofe Maceda; editing by Brinda Darasha)