Saudi Venture Capital has invested in Aliph Capital’s private equity fund, which is based in Abu Dhabi
On Wednesday, Saudi Venture Capital (SVC) announced that it has invested an undisclosed amount in Aliph Capital’s Aliph Fund I. This fund focuses on investing in medium-sized companies in Saudi Arabia and other Gulf Cooperation Council (GCC) countries.
Growth Fund
This investment is part of SVC’s Investment in Funds Program, which helps funds that invest in small and medium businesses (SMEs) based in Saudi Arabia. The goal is to support their growth and expansion, according to Nabeel Koshak, CEO and board member of SVC.
“Holding investments in SMEs across the GCC offers great opportunities to create value for investors and boost economic growth. This is especially true when these businesses are managed actively with a focus on digital transformation and technology,” said Huda Al-Lawati, founder and CEO of Aliph Capital.
Al-Lawati started Aliph Capital in 2021. The private equity firm aims to provide growth capital to businesses in the GCC region, with a focus on growth, sustainability, and helping companies transition to the digital age through technology.
In October 2022, Aliph Capital raised $125 million from ADQ to launch its first fund, Aliph Fund I.
SVC investments
SVC has been investing millions of dollars in funds that support high-growth startups in Saudi Arabia. Last month, it invested $20 million in the Booster Fund IV, which is managed by BECO Capital.
Koshak explained that this investment is part of SVC’s Investment in Funds Program, which focuses on funding early-stage startups with innovative ideas.
In October, SVC also invested $15 million in Saqr Fund II, a venture capital fund managed by Vision Ventures. The target size for Saqr Fund II is $90 million.
Simple Version
SVC, a part of SME Bank created in 2018 under the National Development Fund, helps startups and small businesses get more funding.
SVC uses special funds and partnerships to invest in businesses at different stages, from early ideas to just before they go public. The goal is to build a strong startup ecosystem in Saudi Arabia.
In its April Impact Report, SVC shared that it has invested $700 million since it began. With help from partners, the total investments have reached about $3.6 billion, showing its big role in supporting Saudi startups and small businesses.
So far, SVC has invested in 40 funds, which have backed over 700 startups and small businesses in key areas like e-commerce, fintech, healthcare, education tech, transport, and logistics.
Published: 5th December 2024
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