KARACHI: Riyadh-based company, anb capital, and the UK’s Oxford Frontier Capital (OFC) have signed an agreement to launch a multinational financial technology platform, KTrade, to educate the Saudi youth and provide Pakistani expatriates access to Saudi capital markets, a top official of the fintech initiative said on Sunday.
The anb capital, a Saudi capital market institution regulated by the Kingdom’s Capital Market Authority, is offering investment management, investment advisory, brokerage and related products and services to customers. KTrade Pakistan is majority-owned by the OFC while forty percent of it is owned by the Khadim Ali Shah Bukhari (KASB) a prominent business family in Pakistan.
The KTrade app, prior to entering the UK, was launched in Pakistan in 2021. With over 1 million downloads, KTrade Pakistan is currently one of the most downloaded stock investment applications in the South Asian country.
The agreement between the Saudi and British capital advisory firms will help educate the Saudi youth on Environmental, Social, and Governance (ESG) investing and financial concepts, according to Ali Fareed Khwaja, the OFC chief excutive officer and chairman of KTrade Pakistan. The team in Pakistan will operate the Saudi business in terms of technology, marketing and research functions.
“Besides the fintech app (KTrade) with anb capital, we will provide the 2.7 million Pakistani diaspora access to the Saudi capital markets and advisory services to Saudi investors looking at Pakistan and Pakistani companies who want to expand to Saudi Arabia,” Khwaja told Arab News on Sunday.
KTrade’s stated aim is to promote financial literacy in Saudi Arabia, which is one of the objectives of the Financial Sector Development Program (FSDP) under Vision 2030 to create a thriving economy, according to the platform.
KTrade Saudi will offer a “gamified experience” in investment management, wherein users will participate in investment courses, earn online certifications and manage simulated investment portfolios.
“Vision 2030 is a catalyst for a renaissance in not just Saudi Arabia but in the entire region. Saudi Arabia is the region’s North Star. KTrade aims to support Vision 2030 goals of enhancing the savings rate, developing the capital markets and promoting sustainability,” Khwaja said in a statement posted on anb capital website last week.
“They are optimistic, energetic, happy and eager to learn and lead. We are delighted to be a part of this historic transformation and honored to have anb capital as our partner in our mission.”
Khalid S. Al-Ghamdi, CEO of anb capital, expressed his optimism that the partnership with OFC would not only bring new and exciting investment opportunities to the Kingdom’s investment community, but it would also ensure that these opportunities contribute to the fulfillment of the national agenda.
“For us, KTrade isn’t just a platform; it’s empowerment, inclusion, and a symbol of our social responsibility as a corporate citizen,” Al-Ghamdi said.
“We firmly believe in the potential of our talented youth and their ability to shape the future of the Saudi capital markets. Our role is to help break down barriers and make financial literacy accessible to everyone, confident that together, we will illuminate the path to a brighter Saudi future.”
In Pakistan, KTrade has been authorized by Soya Supreme, one of the largest cooking oil processors in the South Asian nation, to initiate an initial public offering (IPO) of the company at the Pakistan Stock Exchange.
The cooking oil manufacturer plans to expand its business to the Middle East and North Africa (MENA) region.
“KTrade is doing the IPO of Soya Supreme in Pakistan and we will pitch it to Saudi investors as well,” Khwaja said. “We will also seek potential strategic investors from the Middle East in general and from Saudi Arabia in particular.”
KTrade officials said the process of Soya Supreme IPO was currently in initial stages and expected to be completed by the end of this year.
“The due diligence, valuation and the reference price of the company would be worked out before formally applying for IPO,” Nadia Ishtiaq, head of investment banking at KTrade who has been leading the Soya Supreme IPO process, told Arab News.
Ishtiaq hoped the IPO would be ready by December this year and the amount raised would be utilized for expansion.