Egypt’s Nawy: Leading African Proptech Company Raises $52M for MENA Expansion

For years, navigating the Egyptian real estate market has involved a fragmented approach, relying heavily on personal networks, dealing with commission-driven agents, and engaging with developers who prioritize sales over client satisfaction.

In 2019, Mostafa El Beltagy co-founded Nawy to improve transparency and efficiency in the sector. Now hailed as Africa’s leading proptech platform, Nawy has secured $52 million in Series A funding, spearheaded by Partech Africa, a venture capital firm focused on the continent, reinforcing its innovative model that seamlessly merges property listings with brokerage services.

This funding round comprised $23 million in debt financing from notable Egyptian banks, bringing the total to $75 million, making it one of the largest Series A rounds for an African startup. Previously, in 2022, Nawy raised $5 million in a seed round led by the wealthy Sawiris family.

El Beltagy’s motivation to delve into the proptech industry stemmed from personal experiences. After holding various corporate positions internationally, the former Vodafone executive sought to invest in the Egyptian real estate market, recognized as a hedge against inflation and currency depreciation.

However, he faced significant transparency challenges and unreliable recommendations during his property search.

“I had no way to grasp the market without visiting each developer, collecting their brochures, and questioning their sales teams—an incredibly ineffective process,” the CEO noted. “In this industry, everyone seems to steer you in a particular direction.”

Such hurdles led El Beltagy to establish Nawy, aiming to simplify the process of buying, selling, investing, financing, and managing properties. Nawy’s unique model combines a property listing platform with brokerage services, setting it apart in a market where agents mainly rely on offline networks. He co-founded the company with Abdel-Azim Osman, Ahmed Rafea, Mohamed Abou Ghanima, and Aly Rafea.

Making Real Estate Accessible

Initially, Nawy faced challenges in securing listings as developers doubted its ability to attract significant traffic to their properties. Brokers viewed Nawy as a competitor.

To foster trust, Nawy implemented upfront commission payments for brokers completing their first transaction on the platform. This approach improved perceptions and encouraged organic growth, with over 3,000 brokerages actively utilizing Nawy Partners (its brokerage service) and benefiting from real-time inventories and flexible payment options.

Furthermore, the Cairo-based proptech platform attracts over a million monthly visitors, drawing numerous developers seeking visibility. Approximately 150 developers dominate Egypt’s new build market, valued at around $30 billion, based on annual transactions of 100,000, as noted by El Beltagy.

Recently, Nawy has broadened its services beyond listings and brokerage, evolving into a comprehensive real estate ecosystem. This expansion includes Nawy Shares, a fractional ownership product enabling users to invest in real estate from as low as $500, thus making property investment accessible to Egypt’s middle-income demographic—traditionally excluded from the market.

Additionally, Nawy has rolled out a mortgage product, “Move Now Pay Later,” designed to streamline property purchases through installment plans and financing options, particularly in a market where banks often provide limited loans for real estate transactions.

“The real estate market is uneven, as most buyers are inclined towards new builds rather than resales. We believe this product will significantly change the landscape,” El Beltagy remarked concerning the embedded finance offering. “It functions as a uniquely structured mortgage since traditional mortgages are hard to come by in this market.” He further stated that Nawy’s $23 million debt facility supports this initiative.

Immune to Economic Volatility?

These innovations have diversified Nawy’s revenue streams, leading to over a 50-fold increase in dollar value over the past four years, despite the Egyptian pound experiencing a 69% depreciation.

El Beltagy attributes this growth to the perception of real estate as essential for hedging against inflation and currency depreciation. While the currency crisis adversely affected local demand, a surge in expatriate investments helped cushion the downturn.

As a result, the profitable Nawy reported a total gross merchandise value (GMV) exceeding $1.4 billion for 2024, a remarkable increase from $38 million in 2020.

With the new funding, Nawy plans to expand its footprint beyond Egypt, targeting North Africa and the Middle East—regions recognized as some of the most promising real estate markets globally. Nawy aims to enter Morocco, Saudi Arabia, and the UAE, where platforms like Huspy and Property Finder have already established their presence.

El Beltagy noted that the company intends to pursue acquisitions of smaller firms as part of its growth strategy. Recently, Nawy acquired the property management startup ROA, rebranding it as “Nawy Unlocked,” to enhance its service offerings.

The Series A funding round was executed in two stages and will bolster these initiatives, including enhancing product development and integrating AI into Nawy’s operations, as stated by El Beltagy.

Other prominent investors in this funding round include Development Partners International’s Nclude Fund, e& Capital, Endeavor Catalyst, HOF Capital, March Capital Investments, Outliers, Plug and Play, Shorooq Partners, VentureSouq, and Verod-Kepple Africa Ventures.

“We’re excited to support Nawy as they innovate a modern, tech-driven real estate experience,” commented Tidjane Deme, general partner at Partech. “Their team demonstrates deep market understanding, ambitious regional growth plans, and exceptional execution capabilities, positioning them as a leading proptech player in Africa and the Middle East.”