MENA-focused VC firm IMPACT46 has launched a $133 million fund to invest in technology startups in Saudi Arabia and the Middle East and North Africa region. The Fund is the third and largest fund by IMPACT46.
The Fund seeks to invest in tech startups in different areas, mainly: fintech, e-commerce and SaaS. The Fund focuses on investing in Saudi startups with the potential to invest in promising startups from the MENA.
Abdulaziz Alomran, CEO of IMPACT46, said the fund will continue to support ambitious entrepreneurs in the Kingdom and MENA by providing them with the required capital. There are many promising opportunities in the Kingdom to build businesses that develop innovative solutions, Alomran stressed. He added that IMPACT46 sees strong investor appetite for investment in its fund due to strong historical performance and investor confidence.
The newly-established fund builds on the success of previous IMPACT46 funds. The company’s first fund, The Seed Fund, which was launched in 2019, recorded a 3.6x return on its investments, and the growth fund was established in 2021 and generated a 1.9x return on its investments.
IMPACT46 is a CMA-authorised asset management and advisory that focuses on alternative Saudi Arabian investment opportunities including investing in tech companies.
IMPACT46 has launched several funds through which it has invested in 33 early and growth-stage startups. Saudi startups represent the majority of fund investments. IMPACT46 is considered one of the largest Venture Capitals in Saudi Arabia and the region, with the value of managed assets reaching 4.9 billion riyals in 2021.
IMPACT46 invested in Jahez in 2020, where it acquired 40% of Jahez’s shares. Jahez was listed on the Saudi Stock Exchange in December 2021 as the first Saudi tech startup, from which investors generated returns of 22x the original investment amount, based on the listing price.