Saudi-based Aya raises $1.6m to expand presence

Saudi Arabia’s modest fashion platform, Aya has secured $1.6 million (6 million Saudi riyals) in seed funding to revolutionize the modest fashion industry.

The latest funding round, led by Khwarizmi Ventures and investor Turki Alrajhi, included contributions from Saudi venture capital firm Raed Ventures, investment firm Joa Capital, and FENA Holdings.

Aya seeks to unify the modest fashion market - particularly the multi-billion dollar Abaya segment - through a single, trend-focused discovery platform. The company plans to empower local manufacturers to create on-demand fashion in response to shifting consumer interests. 

Munira Al Kadi, co-founder and CEO of Aya, said that investment is more than capital.

"We’re entirely changing the game, and we’re looking for fearless, entrepreneurial talents to join our mission."

Aya aims to deploy the funds to bolster its product development efforts, broaden its market reach, and enhance the overall customer experience. The global modest fashion industry was valued at $295 billion in 2024 and is projected to reach $375 billion in 2025, according to DHL.

By expanding its offerings and tapping into the growing demand for modest fashion, Aya aims to solidify its position as a leading platform catering to consumers seeking both style and cultural relevance.