UAE-based startup Azraq has closed an oversubscribed pre-seed funding round to develop its artificial intelligence platform for measuring and assessing risks associated with data centre investments.
The round comes as capital continues to flow into the data centre sector across the Gulf Cooperation Council, driven by growing demand for cloud computing, artificial intelligence and digital infrastructure.
Azraq did not disclose the total value of the round or the names of the participating investors.
Azraq Assesses Data Centre Investment Risks
Founded in 2024 by Alexandra Coleman, Azraq is developing an AI-powered platform designed to evaluate the financial, operational and regulatory risks surrounding data centre projects.
Its risk engine analyses six core dimensions:
- Market demand.
- Environmental exposure.
- Infrastructure reliability.
- Community and labour constraints.
- Regulatory complexity.
- Financial obligation performance.
The approach is intended to give investors and lenders a more comprehensive view of project risk rather than relying on separate financial or operational assessments.
Using Monte Carlo Simulation for Risk Analysis
Azraq uses Monte Carlo simulation to generate a range of potential scenarios and assess how different variables could affect the performance of a data centre investment.
The platform produces lender-grade reports containing metrics such as:
- Value at risk.
- Debt service coverage ratios.
- Probability of financial default.
- Exposure to operational and regulatory risks.
These assessments can be updated as market conditions, infrastructure availability and operating costs change.
A Digital Alternative to Traditional Due Diligence Reports
Azraq positions its platform as an alternative to costly traditional due diligence reports, which are often delivered as static documents that may not reflect rapidly changing market conditions.
By combining data analysis, artificial intelligence and probabilistic modelling, the company aims to help investors and lenders make more informed decisions when financing or developing data centre projects.
Azraq plans to use the new funding to advance its technology and strengthen the platform’s capabilities while benefiting from continued investment in digital infrastructure across the GCC.
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