Saudi’s Gathern Raises $72M, Eyes IPO at $266M Valuation
▼ Summary
– Gathern has raised $72 million in a Series B round led by Sanabil Investments, valuing the company at over $266 million and making it the highest-valued woman-founded startup in the Middle East.
– The funding will support Gathern’s preparation for an IPO on Tadawul and accelerate its local and regional expansion, focusing on tourism and long-term stays aligned with Vision 2030.
– Founded in 2016 by Latifah Altamimi, Gathern has grown into Saudi Arabia’s leading alternative hospitality platform, offering short-term and monthly rentals.
– The platform claims over 72,000 private units, a 44% market share in Saudi Arabia’s alternative hospitality sector, and has injected over $533 million into the local economy.
– Gathern has experienced over 500% growth in the last two years, with more than 5 million registered users and hosts from 150 nationalities.
Saudi Arabia’s premier vacation rental platform, Gathern, has secured a substantial $72 million in a Series B funding round. This investment was spearheaded by Sanabil Investments, a fully owned subsidiary of the Public Investment Fund, and saw involvement from STV, Pinnacle Capital, Nuwa Capital, and Endeavor Catalyst. The deal places the company’s valuation at more than $266 million, establishing it as the Middle East’s most valuable venture-backed startup founded and led by a woman.
Proceeds from this round will support the company’s preparations for an upcoming initial public offering on the Tadawul stock exchange. While no specific timeline has been provided, the move signals a major step in Gathern’s corporate evolution.
Launched in 2016 by Latifah Altamimi, the platform began as a chalet booking service within the Kingdom. It has since matured into the nation’s foremost alternative hospitality provider, allowing international and domestic travelers to reserve privately listed properties for short-term stays. The company, headquartered in Riyadh, also facilitates extended monthly rental options.
Gathern reports a portfolio exceeding 72,000 private hospitality units managed by local hosts throughout Saudi Arabia. This figure accounts for close to 15% of the entire hotel and non-hotel supply across the local market. According to the company, it commands a 44% market share in the Kingdom’s alternative hospitality segment, a number that climbs to 53% within the capital city.
Over its nine-year history, the platform has contributed more than $533 million to the regional economy, supporting over 33,000 Saudi hosts who derive meaningful monthly earnings. The business has expanded by over 500% in the last two years alone, boasting a user base of more than 5 million registered guests from 150 different countries. Cumulative payouts to local hosts have now surpassed the $533 million mark.
A company statement emphasized that this funding round represents a critical turning point, strengthening Gathern’s position as it moves toward greater expansion and corporate transparency ahead of its public listing.
The new capital will drive both local and regional growth initiatives, with a sharp focus on drawing inbound tourists and meeting rising demand for long-term accommodations. This direction aligns with Saudi Vision 2030’s objective of establishing the Kingdom as a worldwide tourism destination. Investment will also go toward advancing technological infrastructure, including AI-driven user experience improvements, and broadening the host network.
Prior to this round, Gathern raised $6 million in a Series A round led by STV in 2021, followed by an undisclosed pre-Series B investment in 2022.
(Source: MENAbytes)
