UAE - Mubasher: Dubai-based Swvl Inc. has announced the completion of the $35.5 million pre-funding of the aggregate private investment in public equity (PIPE) subscription secured in connection with the company's proposed business combination with Queens Gambit Growth Capital.
The pre-funding has been completed by several investors, including Agility Public Warehousing and Chimera Abu Dhabi, according to a recent press release.
The proceeds of the pre-funding transaction are forecast to boost Swvl's expansion strategy and promote its investments in its proprietary technology platform.
Swvl seeks to generate around $1 billion of annual gross revenue and expand to over 30 cities across more than 20 countries by 2025.
The investors in the PIPE subscription have bought exchangeable notes of Swvl, each of which will be automatically exchanged for shares of the combined company at an exchange price of $8.50 per share upon the closing of Swvl's business combination.
Swvl Founder and CEO, Mostafa Kandil, said: "With this immediate infusion of growth capital, we are even better positioned to bring our transformative daily commuting, inter-city retail travel, and TaaS offerings to new markets. Each and every day we are advancing our mission to reinvent the $1 trillion mass transit industry with tech-enabled solutions."
The Vice-Chairman of Agility, Tarek Sultan, commented: "After getting to know their team better over the past few months, we have full confidence in their ability to solve complex mobility challenges."
It is noteworthy to mention that in July 2021, Swvl and Nasdaq-listed Queen's Gambit Growth Capital entered into a definitive agreement for a business combination, which will result in Swvl being listed on Nasdaq.