COLABS, a leading co-working space provider in Pakistan, has announced the successful closure of its pre-Series A funding round, securing $2 million. The round was led by Shorooq Partners, with participation from Waad Investment, providing the capital needed to fuel the company’s expansion into Saudi Arabia and the broader MENA region.
This new investment brings COLABS’ total funding to over $5 million, positioning the company for significant growth as it scales operations. Since its founding in 2019, COLABS has grown rapidly, now offering 5,000 seats across 10 locations and employing over 300 staff. In a sign of its strong performance, the company has achieved profitability and seen a five-fold increase in revenue in just the past year.
Strategic Growth and Vision 2030 Alignment
Omar Shah, CEO and co-founder of COLABS, noted the company’s strong financial performance and highlighted the strategic potential of expanding into Saudi Arabia. He emphasized that COLABS’ services align closely with Saudi Arabia’s Vision 2030, which seeks to promote economic diversification and foster innovation. This alignment is expected to open up new opportunities in a rapidly growing market that is placing a strong focus on developing entrepreneurial ecosystems and tech-driven sectors.
Positive Outlook for Pakistan’s Startup Ecosystem
COLABS’ successful funding round comes at a critical time for Pakistan’s startup ecosystem, which faced a downturn in the first half of 2024, marked by a significant decline in funding. However, COLABS’ new investment—along with recent funding rounds for companies such as PostEx, Zyp Technologies, DealCart, and Abhi—signals a resurgence of investor interest in Pakistani startups. These developments are seen as a positive sign of recovery and renewed confidence in the market.
Strengthening Position in the Tech Industry
In addition to its core co-working space business, COLABS has formed strategic partnerships that have bolstered its position as a key player in Pakistan’s tech industry.
Its partnership with Google Cloud and its collaboration with the Pakistan Air Force on the National Aerospace Science and Technology Park are key examples of how the company is branching out into high-tech sectors, further cementing its leadership in the market.