Gemcorp Backs Saudi Fintech SILQ with $20M Direct Lending Deal

Saudi B2B e-commerce and fintech platform SILQ has secured a $20 million structured financing facility from global asset management firm Gemcorp Capital.

This Sharia-compliant funding aims to enhance and expand the reach of embedded finance services provided to small and medium-sized enterprises (SMEs) across the Kingdom of Saudi Arabia.

Established following the merger of Sary and ShopUp, SILQ currently operates an integrated digital ecosystem serving over 50,000 businesses in the Kingdom.

The platform operates through two primary pillars: the procurement platform Sary and the embedded finance platform Fina. In 2026, the platform facilitated B2B commercial transactions exceeding SAR 10 billion in total value.

The new capital will be deployed via Fina to expand invoice financing and trade finance solutions directly within merchants' daily operational workflows, reducing their reliance on traditional funding channels.

For Gemcorp, the transaction marks its first direct lending deal in the Saudi market, its inaugural Sharia-compliant financing structure, and its first mezzanine financing facility in the Kingdom, laying the groundwork for future expansion across the GCC region.

Additional Pillars for Deepening the Analytical Context

• Addressing the SME Credit Gap: SMEs typically face cumbersome traditional banking processes and high collateral requirements. The embedded finance model enables credit issuance based on real-time transactional data and actual purchasing history within the platform, thereby mitigating default risks and ensuring capital reaches the sectors that need it most.
• Alignment with Vision 2030 Financial Sector Development: Saudi Vision 2030 aims to increase SME contribution to GDP from 20% to 35% and expand the share of non-cash digital transactions. This capital injection accelerates these objectives by integrating digital payment and credit solutions directly into supply chains.
• Strategic Implications of Mezzanine Financing: Mezzanine financing serves as a hybrid debt instrument combining features of debt and equity. For late-stage fintechs, adopting this model provides substantial expansion capital without causing equity dilution, thereby safeguarding shareholder value while maintaining financial flexibility.
• Attracting Innovative Foreign Direct Investment (FDI): Gemcorp Capital's entry through a Sharia-compliant structure signals the maturity of Saudi Arabia's fintech regulatory landscape. It underscores the Kingdom's capacity to attract foreign capital through non-conventional direct lending frameworks tailored to local market requirements.