Dubai-based prop-tech firm Prypco has raised $10 million in a seed funding round led by Shorooq Partners, with participation from Apparel Group and other investors.

The funding, completed in September 2024, will support the two-year old proptech firm’s plans to scale its operations and expand its offerings.

Amira Sajwani, founder and CEO of Prypco, stated that the partnership with Shorooq Partners adds significant value to the company.

“We started the company bootstrapped, and we're very proud of that. Of course, the investment is a great bonus, but we’re particularly happy with the team and have built a phenomenal relationship,” she told Zawya Projects on the sidelines of agreement signing event.

Mahmoud Adi, founding partner at Shorooq Partners, told Zawya Projects that his firm supports companies leveraging technology to transform traditional sectors, noting that Prypco never slowed down when it came to execution.

"They’ve remained focused, with their heads down, building and growing. Even while being bootstrapped, they’ve proven to be an incredibly credible and reliable business,” he said during a joint interview with the Prypco founder on Tuesday.

The $10 million investment would primarily be used to support the company’s growth and ensure organic expansion, allowing it to continue on its growth trajectory, said Amira. The firm aims to become a $250 million ARR [Annual Recurring Revenue] business by December 2027

Business verticals

Prypco currently operates four verticals: Prypco Blocks, Prypco Mortgage, Prypco Exclusives, and Prypco Golden Visa. Prypco Mortgage, which facilitates home loans, has disbursed over 500 million UAE dirhams ($136 million) to date including record single mortgage disbursal of AED48.5 million.

Prypco Blocks is a DFSA-regulated fractional real estate ownership platform that enables investors to digitally invest in rental properties from AED 2,000. It has already fully funded nine properties since its official launch and plans to add more real estate investment opportunities in the coming months.

Prypco Golden Visa assists clients in obtaining long-term residency in the UAE and managing the paperwork involved while Prypco Exclusives, slated to be launched soon, gives real estate brokers access to secondary properties, with more than 250 listings across 70 projects.

“In mortgages, we are currently the second-largest mortgage broker in the UAE,” said Amira. “For fractional ownership, even though we started just three months ago, we are already the third-largest in the UAE. When it comes to Golden Visas, we are the largest provider at scale [with 600 plus visas], as there are few service providers offering this at our level.”

Prypco’s Gross Merchandise Value (GMV), which reflects the total sales volume, exceeds AED450 million while revenue generated to date is over AED8.2 million.

Resilience amid change

While acknowledging that the seed funding has coincided with a booming UAE real estate sector, Amira confidently stated that the business will not be impacted by any potential market correction.

“In fact, in the mortgage sector, when the market slows down, more people tend to opt for mortgages. Interest rates come down and those with existing mortgages often seek to refinance at better rates, and we handle that process as well,” she said.

The Prypco founder emphasised that fractional ownership functions more as a fintech product that competes with bonds and other interest-based instruments, making it less dependent on the Dubai market and more influenced by global market conditions.

“When interest rates drop, bond prices rise, and their yields come down, as well as stock market returns. Our fractional ownership product competes with such financial instruments, making it less affected by local market shifts,” she said.

Furthermore, even if the market were to slow down, Dubai's property yields have consistently remained above 7 percent from pre-COVID to the present.

“In fact, yields are slightly lower currently due to higher sales prices, which would actually benefit fractional ownership returns. So, in either case, we wouldn't be negatively affected,” she said, adding that current range of returns for Prypco’s fractional ownership product is between 8 percent and 12 percent.

She said the company will focus on the UAE and particularly, Dubai real estate market for now.

“We're always open to new opportunities, but our primary focus is securing market share locally before looking outward,” said Amira.

Leveraging Shurooq’s strengths

Commenting on Shurooq Partners’ role with regard to Prypco, Mahmoud Adi said his firm is committed to leveraging its extensive network, and drawing upon its proven track record to help proptech realise its full market potential.

“Every growing startup needs access to increasingly larger amounts of capital, and we excel in providing that support. We also engage with founders to help them think about scaling their teams and hiring the right people. The third element, which we bring to the table, is business strategy. We specialise in recognising patterns at a macro level. Sometimes, we offer valuable insights on adjacent markets and trends that may be relevant. We also have a strong track record in fintech, having backed many leaders across the region”

Adi said the firm does not invest in competing proptech businesses; however, it has a range of fintech investments that complement its model, including platforms beneficial for cryptocurrency and other sectors.

“At the end of the day, these businesses are interconnected, allowing us to create a cohesive ecosystem,” he concluded.

(Reporting by Anoop Menon; Editing by SA Kader)

(anoop.menon@lseg.com)

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