Saudi-based startup Merit secures $28 million in Series B funding to expand its customer rewards platform.
Merit Medical, a customer rewards and engagement platform, has recently raised $28 million in a Series B funding round. The investment will be used to propel the company's growth through technological and service innovation, aiming to improve client outcomes and operational efficiency.
The funding round was led by Alistithmar Capital and Tech Invest Com, with the strategic push towards enhancing Merit's technology infrastructure to support more efficient workflows and better customer engagement. This aligns with trends in the medtech industry where growth capital targets platform scalability and clinical-commercial potential.
Merit's expansion plans include geographic expansion into key markets such as Saudi Arabia, the UAE, and Egypt. The company reported significant growth in 2023, increasing its user base by over 80 percent and distributing more than a million rewards in Saudi Arabia alone.
The fresh funds will also be used to implement an "Agent as a Service" model, leveraging AI tools to support business engagement and loyalty strategies. This model likely reflects a move to provide clients with on-demand expert support or software agents integrated into their healthcare or operational systems, enabling flexible and customizable solutions.
Merit operates a white-labeled loyalty marketplace that enables enterprises to create customized rewards programs for customers and employees. The company's product portfolio includes Rewardsby, a SaaS platform for businesses to send rewards, and GiftCardsBy, a platform for businesses to create and sell gift cards. Merit has built a network of over 6,000 retail and service partners across more than 100 countries.
The "Agent as a Service" business model is expected to broaden Merit's geographic footprint and service delivery capabilities. By offering specialized agents on demand as a scalable service, the company aims to improve its platform capabilities and market reach.
Investor confidence in companies with clear growth and development paths is reflected in the significant investments made in Series B+ rounds, with $5.6 billion across 124 rounds in H1 2025. These investments typically support not only technology refinement but also regulatory processes, market entry, and scale-up efforts.
Merit was founded in 2016 by Julie Barbier-Leblan. The company's Series B funding is a critical step towards accelerating growth through technological and service innovation, positioning Merit for future growth and potential exit opportunities.
While details on the investor composition or funding amounts specific to Merit's Series B are not yet disclosed, the investment climate and healthcare venture capital trends suggest strong institutional backers typically lead such rounds.
In conclusion, Merit's Series B funding marks an exciting step forward for the company, as it sets its sights on expansion and innovation in the customer rewards and engagement sector. The investment will enable Merit to scale its platform capabilities, improve service delivery, and broaden its geographic footprint, ultimately aiming to provide businesses with more efficient and customizable gifting, rewards, and engagement solutions.
The strategic push towards enhancing Merit's technology infrastructure will be financed by the recent $28 million Series B funding round. This allows Merit to implement an "Agent as a Service" model, which utilizes AI tools to support business engagement and loyalty strategies.
