Saudi Venture Capital Co. has invested SR112.5 million ($29.9 million) in IMPACT46 Fund III as part of its commitment to reducing funding gaps for companies. By investing in the growth and initial public offering stages, the action is intended to strengthen late-stage businesses in the area.
A late-stage company is a business that has been in operation for a few years and has demonstrated viability. The release added that the trust will aim to allocate a specific amount for early-stage startups, focusing primarily on seed rounds in the broader Middle East, as per arabnews.
“The investment in IMPACT46’s Fund III falls under the company’s fund investment program, which aims to enhance the growth of the venture capital ecosystem for startups in the Kingdom across all stages and sectors,” said SVC CEO Nabeel Koshak in a statement.
“This is in line with the growth witnessed by the venture capital sector in the Kingdom over the past years, making it a leader in venture capital in the Middle East and North Africa in the first half of 2023 in terms of invested amounts,” Koshak added.
The Kingdom took the lead in venture capital valuation for the first half of 2023, with investments totaling $446 million, the largest in the MENA region.
“We are delighted that SVC and IMPACT46 are once again joining forces, this time with our Fund III, which aims to support the growth of the tech startup ecosystem in Saudi Arabia. This partnership demonstrates our commitment to achieving our shared vision for driving a sustainable economic impact,” said IMPACT46 CEO and Founder Abdulaziz Al-Omran in the statement.