Saudi-headquartered foodtech startup Calo has secured $25 million in a Series B funding round, led by Nuwa Capital, with contributions from STV, Khwarizmi Ventures, and regional family offices. This marks a significant step for the company ahead of its plans for an initial public offering (IPO) in Saudi Arabia and expanding its operations beyond the region.
All three venture capital firms are returning investors. According to multiple sources, the round values Calo at $250 million, TechCrunch reported. The company, which was founded in Bahrain in 2019, is preparing to launch its IPO in Saudi Arabia in 2027, with aspirations to expand its ready-to-eat meal service internationally.
“We’re pressing the gas pedal on product and geo expansion. We’re moving our HQ to Saudi and gearing up towards an IPO,” Ahmed Al Rawi, Founder of Calo, said in a press release.
Calo Expansion Plans Into Retail, M&A Growth
Investor confidence has prompted Calo to extend its Series B round to a total of $50 million, with an additional $25 million raise scheduled for Q1 2025. With this funding, Calo plans to expand into related sectors like retail and mergers & acquisitions, as part of its global growth strategy. It will also focus on enhanced personalization through AI and the launch of new products.
The company is also focusing on global expansion through M&A, with its first acquisition expected to close in Q1 2025.
Calo Achieves Nine-Figure Revenue, 100% CAGR
In a press release, Calo placed itself as the fastest-growing meal subscription service worldwide, having achieved an impressive nine-figure annualized revenue, along with a 100% compound annual growth rate (CAGR) over the past five years (2020-2024).
“It’s been truly a privilege to be ‘making healthy easy’ over the past few years for hundreds of thousands of customers, but it’s still day 1 for us. Being in Saudi, we’re inspired to think big and be ambitious. There’s no reason why we can’t export innovation from the region to the rest of the world,” Ahmed Al Rawi, Founder & CEO of Calo, said.
“The top 10 food brands globally earn $300B a year, none of which are solving the health problem. We bet that in the next 10 years, there will be a healthy brand that climbs to the top 10 list, and we aspire to be that brand having tech & innovation in our DNA from day 1,” he added.
