Shatib, a Saudi technology platform focused on group buying for construction materials, has closed a pre-seed funding round that signals growing investor confidence in procurement-focused innovation in the Kingdom. The company announced that it secured 2.8 million Saudi riyals, or roughly $750,000, from a strategic angel investor. The fresh capital comes less than a year after Shatib’s launch and is intended to fuel product development, market expansion, and new partnerships with key players across the construction supply chain.
Overview of Shatib
Based in Riyadh and founded in 2024, Shatib operates as a B2B marketplace dedicated to streamlining the purchase of construction materials for real estate developers and contractors. The startup was established by chief executive officer Abdulaziz AlMasoud, who brings a background in supply chain and procurement management to the venture. By translating that experience into a digital platform, Shatib aims to address long-standing inefficiencies in how construction stakeholders plan, source, and manage their materials needs.
Funding round details
The pre-seed round, totaling 2.8 million Saudi riyals, was led by a single strategic angel investor whose identity has not been made public. According to the company, the investor’s involvement goes beyond capital, with expectations of operational insight, sector relationships, and governance support that can accelerate Shatib’s growth. The funding is expected to support enhancements to the platform’s technology, expansion of the team, and deeper integration with manufacturers, distributors, and other ecosystem partners in the local market.
Group buying model and value proposition
Shatib’s core proposition is to aggregate demand from multiple real estate developments and construction projects so that buyers can negotiate from a stronger and more coordinated position. By consolidating orders, the platform enables developers and contractors to obtain more competitive pricing from manufacturers and distributors who benefit from larger, more predictable volumes and clearer visibility into future demand. The company reports that this approach can generate cost savings of between 20 and 35 percent compared with prevailing market prices, improving project economics and budget certainty for its clients.
Market context and strategic significance
Saudi Arabia’s construction sector is undergoing rapid expansion driven by large-scale national projects, housing initiatives, and ongoing urban development, which puts sustained pressure on supply chains and procurement processes. In this context, Shatib positions itself as an efficiency tool that can help market participants manage volatility in material prices, lead times, and availability while maintaining project timelines. The company also highlights that strengthening group purchasing and procurement transparency can contribute to a more sustainable, data-driven, and resilient construction ecosystem over the long term.
Technology and product development focus
The new capital will be used to enhance Shatib’s technology stack, including tools that support demand aggregation, pricing analysis, and supplier performance tracking. The company is working to refine its digital workflows so that developers and contractors can manage procurement processes, from initial inquiry to order execution, within a single integrated interface. Shatib also plans to invest in analytics capabilities to give buyers better visibility into market trends, potential savings, and opportunities to optimize purchasing across multiple projects.
With its new pre-seed funding in place, Shatib is preparing for a next phase of growth focused on scaling its technology platform and signing additional partnerships across the Saudi construction value chain. The startup’s model of technology-enabled group buying seeks to deliver measurable cost savings, stronger negotiating leverage, and more efficient procurement workflows for developers and contractors in a sector that is central to the Kingdom’s economic plans. As it continues its journey, Shatib will be tested on its ability to translate early investor confidence and market interest into lasting impact on the construction materials market in Saudi Arabia.