Saudi Arabia’s Venture Capital Boost: Global Investments Surge

Venture Capital Growth in Saudi Arabia Attracts Worldwide Interest

The venture capital ecosystem in Saudi Arabia is experiencing a significant expansion, with its influence extending globally. International venture capital entities are leveraging opportunities presented by the Kingdom’s comprehensive growth strategy, as manifested by the Saudi Venture Capital Company’s (SVC) $30 million investment in an American investment firm.

SVC’s considerable commitment to a private equity fund managed by the acclaimed investment company General Atlantic is a strategic move, aligning with SVC’s Investment in Funds Programme. The initiative is designed to attract leading global fund managers for investments in Saudi enterprises, while also promoting funding for more mature business stages, according to Nabeel Koshak, the CEO and Board Member at SVC.

With its establishment in 1980, General Atlantic is recognized for its exceptional role as a global growth equity investor and manages a vast portfolio with assets amounting to $84 billion.

This collaboration will primarily target investments in rapidly growing, tech-enabled ventures within Saudi Arabia to advance innovation and entrepreneurial efforts. It will focus on sectors such as consumer goods, financial services, healthcare, life sciences, and technology.

“We are very proud to partner with SVC and broaden our commitment to Saudi Arabia. Vision 2030 sets the stage for a period of dynamic growth and innovation in Saudi Arabia, which will create attractive investment opportunities for our global investors. SVC is a highly strategic investor who will deepen our expertise in this important region,” Bill Ford, Chairman and CEO of General Atlantic, affirmed.

Saudi Arabia’s WheeKeep secures $8m series A funding

The Saudi Arabian logistics startup WheeKeep has successfully raised $8 million in a series A funding round. The lead investor was Fintech Collective, supported by a mix of local and global investors. Founded by Sultan Al-Olayan, Amr Al-Marzouki, and Youssuf Fayez in 2020, WheeKeep offers portable self-storage solutions to both individuals and businesses. The newly acquired funds will support WheeKeep’s expansion endeavors within and outside of Saudi Arabia.

Saudi Qsalary partners with Itqan Capital to launch $80m fund

In a collaborative venture, Saudi HRtech company Qsalary joined forces with Itqan Capital to introduce an $80 million investment fund. Qsalary, established in 2022 by Mohammed Badwi and Amr Abu Shady, provides a digital platform for accelerated salary payments. The fund aims to present investors with opportunities for financial growth.

Qatari investors commit $20m to MENA Fund I

Qatari investors are amplifying their presence in the regional startup arena with a $20 million contribution to the newly unveiled MENA Fund I. Golden Gate Ventures, a venture capital fund with roots in Silicon Valley, has announced its first $100 million MENA fund, bolstered by $20 million from some of Qatar’s most influential families. The Al Khor Holding, with a 60-year legacy, serves as the anchor investor. Other prominent investors include the Al Attiya Group, known for fostering local businesses, and Sheikh Jassim Bin Jabor Al Thani.

The announcement of the first close of its $100 million MENA Fund I, backed by the stalwarts of Qatar’s private business sector, symbolizes a significant leap in Golden Gate Ventures’ goal to propel innovation and entrepreneurship across the MENA region. The fund integrates the collective regional influence of its investors with Golden Gate Ventures’ extensive expertise in developing startup ecosystems in Silicon Valley and Asia.

MENA Fund I, the first international venture capital fund to be based and managed in Qatar, will concentrate on propelling startups in crucial sectors like alternative energy, green technology, B2B artificial intelligence, and energy-focused deep tech. Furthermore, it will support fintech, healthtech, and edtech sectors, thereby advancing Qatar’s economic diversification agenda.

Glint completes first close of its second venture fund at $3 million

The Egypt-based investment firm Glint has accomplished the first close of its second venture fund at $3 million, with backing from Wadi Degla Group. Glint Fund II, steered by Tarek Aboualam and Youssef Helmy Habib, is set to bolster Egyptian entrepreneurs with early-stage investments ranging from $250,000 to $500,000.

“Glint’s second fund represents an important step to further develop our ecosystem designed to support Egyptian tech-based startups looking to penetrate the regional and international markets,” stated Aboualam.

UAE’s Property Finder raises $90m debt round to buyout lead investor

Dubai’s Property Finder has secured a substantial $90 million in debt from Francisco Partners to finance the buyout of its primary institutional investor, BECO Capital. As an online real estate platform, Property Finder has repurchased the stake of BECO Capital, an investor in notable ventures like the ride-hailing app Careem and logistics startup Fetchr. Property Finder highlighted that the transaction enables BECO to exit with a robust return on its investment.

“We’ve seen tremendous growth in the real estate market across the entire UAE, not just Dubai,” expressed Michael Lahyani, CEO and founder of Property Finder. With an approximate value of $1 billion, the company is now part of the increasing roster of Middle Eastern unicorns.

UAE’s Lune raises $1.5m in seed round

The UAE-based data analysis firm Lune has raised $1.5 million in a seed round. Investors include Dubai Future District Fund, Plus Venture Capital, Reach International, and Judah Ventures, in addition to other family offices and angel investors. Founded by Helal Tariq and Alexandre Soued in 2020, Lune provides financial institutions the ability to transform customer transaction data into actionable insights. The investment will facilitate Lune’s regional expansion and product development.

Egypt’s MNZL raises $3.5m in seed funding

The Egyptian fintech startup MNZL has attracted $3.5 million in Seed funding. The round was led by P1 Ventures, Localglobe, and Ingressive Capital, with further backing from 500 Startups, Flat6Labs, First Circle Capital, ENZA Capital, Beenok, and other angel investors. Founded by Sameh Saleh, Ahmed El-Dessouky, and Bassem El-Shaer in 2023, MNZL enables users to liquidate assets such as homes and cars for financial purposes.

“By allowing Egyptians to safely leverage their assets—whether homes or cars—for financial needs, we at MNZL are initiating more than just an adjustment; it’s a transformation in credit accessibility. This shift empowers families with financial leverage and contributes to the broader economic prosperity in the region,” Saleh explained. The company plans to utilize the fresh capital to enhance MNZL’s technology and expand its operations within Egypt.

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