{"id":2761,"date":"2026-08-04T02:20:58","date_gmt":"2026-08-03T23:20:58","guid":{"rendered":"https:\/\/dailybusiness.info\/?p=2761"},"modified":"2026-08-04T02:20:58","modified_gmt":"2026-08-03T23:20:58","slug":"simplex-raises-new-funding-round-to-up-cnc-annual-production-capacity-to-3-5k-units","status":"publish","type":"post","link":"https:\/\/dailybusiness.info\/?p=2761","title":{"rendered":"Simplex raises new funding round to up CNC annual production capacity to 3.5k units"},"content":{"rendered":"<section id=\"content\"> \t\t<main id=\"main\">  \t\t\t \t\t\t\t<\/p>\n<div>\n<figure>  \t\t\t\t<img src=\"https:\/\/i0.wp.com\/ent.news\/2026\/8\/47.jpg?fit=1200%2C9999&#038;ssl=1\" alt data-hero-candidate=\"1\" fetchpriority=\"high\" decoding=\"async\"> \t\t\t<\/figure>\n<article id=\"post-719425\">\n<div>\n<figure><audio controls preload=\"metadata\" src=\"https:\/\/ent.news\/internal\/audio\/polly-719425-1785724651.b0e3fce1-79dd-4ef0-99c3-aeb35717f3cc.mp3\"><\/audio><\/figure>\n<p><strong>Local CNC machine manufacturer<\/strong> <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\"><strong>Simplex<\/strong><\/a> <strong>is raising a new funding round to bankroll its expansion in Tenth of Ramadan City<\/strong>, which will push its annual production capacity to 3.5k machines, CEO Ahmed Shaaban (<a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">LinkedIn<\/a>) tells EnterpriseAM. The company aims to close the active round by the end of the year to finance the build-out. Simplex now runs one 5k sqm plant and one 10k sqm plant in Tenth of Ramadan City, while a third 20k sqm facility broke ground last week. Current annual production capacity has increased to 1.5k machines, up from 500, and will reach 3.5k once the third facility is built, Shaaban says.<\/p>\n<p><strong>The financing mix:<\/strong> \u201cThe financing comes from the previous round, plus we have an ongoing funding round that hasn\u2019t closed yet,\u201d Shaaban says, adding that the company also \u201csecured an angel bridge round of about USD 1.5 mn.\u201d He declined to disclose the target size of the active round.<\/p>\n<p><strong>REFRESHER-<\/strong> An undisclosed Egyptian investor picked up a minority stake in Simplex in October 2024 with an EGP <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">eight-figure transaction<\/a>, with proceeds earmarked to finish the Tenth of Ramadan factory, fund R&#038;D, and back expansion into Tunisia, Morocco, and Algeria. <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">Qatar<\/a> was later named as a target market as well.<\/p>\n<p><strong>SOUND SMART-<\/strong> CNC, short for computer numerical control, is a computer-controlled piece of machinery used in industry to cut and shape materials with a very high level of precision and repeatability. It is used to make parts for everything from cars to factory equipment.<\/p>\n<p><strong>Taking business abroad<\/strong><\/p>\n<p><strong>Looking overseas:<\/strong> \u201cWe are currently focused on partnering with an international strategic player outside Egypt, someone with deep industry expertise so we can learn and scale further,\u201d Shaaban tells us. That international search comes after talks with Elsewedy Electric over a domestic <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">stake sale fell through in 2024<\/a> over disagreements on the size of the stake.<\/p>\n<p><strong>The CNC manufacturer also inked new partnership and agency agreements in Jordan, Kuwait, and Syria<\/strong>, which will allow distributors there to buy and resell its machines locally, Shaaban says. The release didn\u2019t name either partner or disclose contract terms. The company is also in talks with potential partners in Pakistan, South Africa, and Angola, Shaaban notes, with three to five new markets expected to close before year-end.<\/p>\n<p><strong>Export volume is still a small slice of the business, for now.<\/strong> Simplex ships about 15% of what it makes today, but the company is \u201cheavily focused on exporting,\u201d Shaaban notes. Looking ahead, the target is to \u201chopefully reach 50% within five years,\u201d he adds.<\/p>\n<p><strong>ICYMI-<\/strong> In January 2025, Simplex signed an MoU with Saudi Arabia\u2019s National Industrial Development Center to build <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">its first Saudi factory<\/a>, a 20k sqm <a href=\"https:\/\/dailybusiness.info\/\" target=\"_blank\">plant in Riyadh<\/a>, funded by its Saudi partner. The following month, it confirmed securing USD 13 mn for that project, which began operations in 1Q 2026.<\/p>\n<p><strong>About Simplex<\/strong><\/p>\n<p><strong>Simplex\u2019s machinery feeds into the supply chains of the country\u2019s biggest industrial companies<\/strong>, serving over 4.5k clients and exporting to 34 countries, Shaaban says. \u201cIn furniture manufacturing, we supply Mobilya, In &#038; Out, Ikea, and similar companies,\u201d he says. The company\u2019s reach also extends to home appliances (El Araby, Fresh, Midea, and Kiriazi), the automotive sector (MCV, Volvo, Mercedes, and El Nasr Automotive), infrastructure (Arab Contractors, Elsewedy, and Orascom), and electrical (Elsewedy, ABB, Schneider, and Siemens).<\/p>\n<p><strong>A local manufacturing monopoly:<\/strong> The company designs, assembles, and manufactures CNC machines domestically rather than relying on the import-to-resell model that dominates the market. \u201cThere are a few manufacturers, but not for our specific types of machinery, and not at our corporate scale,\u201d Shaaban notes, adding that Simplex is \u201cunfortunately\u201d the only significant player in the market.<\/p>\n<\/p><\/div>\n<\/p><\/div>\n<p>  \t\t\t   \t\t<\/main> \t<\/section>\n","protected":false},"excerpt":{"rendered":"<p>Local CNC machine manufacturer Simplex is raising a new funding round to bankroll its expansion in Tenth of Ramadan City, which will push its annual production capacity to 3.5k machines, CEO Ahmed Shaaban (LinkedIn) tells EnterpriseAM. The company aims to close the active round by the end of the year to finance the build-out. Simplex [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":2762,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[157],"tags":[],"class_list":["post-2761","post","type-post","status-publish","format-standard","has-post-thumbnail","category-featured"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.8 (Yoast SEO v28.1) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Simplex raises new funding round to up CNC annual production capacity to 3.5k units - daily business egypt<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/dailybusiness.info\/?p=2761\" \/>\n<meta property=\"og:locale\" content=\"en_GB\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Simplex raises new funding round to up CNC annual production capacity to 3.5k units\" \/>\n<meta property=\"og:description\" content=\"Local CNC machine manufacturer Simplex is raising a new funding round to bankroll its expansion in Tenth of Ramadan City, which will push its annual production capacity to 3.5k machines, CEO Ahmed Shaaban (LinkedIn) tells EnterpriseAM. The company aims to close the active round by the end of the year to finance the build-out. 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