Cairo Angels, an Egyptian angel investor network, has announced the first closing of the Cairo Angels Syndicate Fund (CASF), a Delaware-based angel fund that will invest between $100,000 and $250,000 in Middle East and African startups.
Cairo Angels was Egypt’s first formal network of angel investors when it launched, and it has since become one of the Middle East and Africa’s most active early-stage investors in startups and high-growth businesses, with 31 investee companies in 18 different sectors.
Its syndicate fund is a micro venture capital fund that focuses on Egypt, the United Arab Emirates (UAE), Saudi Arabia, Nigeria, Kenya, and South Africa, investing in post-seed and pre-Series A startups.
CASF negotiates additional co-investment rights for its LPs on a deal-by-deal basis, allowing the fund’s investors to double down on opportunities in addition to the investment made by the fund.
With its first close, the fund is ready to deploy capital, and it is already in negotiations with a number of startups that suit its investment thesis, which seeks sector-agnostic, early-stage scalable platforms with strong technical teams and domain experience.
CASF intentionally focused fundraising for the first close on individual investors and family offices in order to democratize access to this exciting asset class. The sole exception was one institutional investor, who has made a soft commitment to invest and assist the fund and will formally join in the first quarter of next year.
CASF will now concentrate on closing the deal and meeting its funding goal of $5 million, for which it is in advanced discussions.
“This fund is a natural step in the evolution of the Cairo Angels,” said Aly El Shalakany, chief executive officer (CEO) of CASF.
“It couples our already strong deal sourcing platform with a faster and more rigorous due diligence and capital deployment capability further down the value chain. This is the new missing middle.”