500 Global, has launched 500 MENA, a new fund dedicated to investing in high-growth technology startups across the Middle East and North Africa (MENA) region.
500 MENA will invest in startups both from outside and inside the current 500 Global portfolio beyond the seed stage and to catalyze further the growth of the MENA region’s burgeoning tech ecosystem.
Amjad Ahmad, managing partner, 500 Global MENA, and emerging market advisor, will lead the fund. He will be supported on the investment committee by Courtney Powell, chief operating officer and managing partner at 500 Global, who has been based in Riyadh since 2021.
“We are thrilled to fuel the next wave of tech champions in the MENA region, driving innovation and economic growth as digital transformation accelerates across key economies,” said Amjad Ahmad. “Our partnership with talented founders aims to empower them to innovate, build, and scale.” The Fund is backed by prominent Saudi institutional investors, Jada Fund of Funds, a Public Investment Fund (PIF) company, and Saudi Venture Capital (SVC). It is also supported by Sanabil Investments alongside their ongoing strategic partnership with 500 Global.
The Fund will invest primarily in startups with proven product-market fit and significant growth potential, addressing the critical funding gap MENA founders face, particularly in the expansion stage. 500 Global aims to actively support these companies through their extended international network and comprehensive platform, empowering them to build and scale innovative solutions regionally and globally.
The MENA region has witnessed a significant surge in startup activity in recent years. Funding in startups has soared from $990 million in 2019 to over $2.6 billion in 2023. However, expansion capital beyond the seed stage remains challenging, with Series B funding at a 5-year low accounting for only 2% of deals. With the launch, MENA region is on track to achieve venture capital penetration levels comparable to robust economies like the U.S.
500 Global has been pivotal in shaping MENA’s startup ecosystem since it began deploying capital in the region in 2012. Key milestones include the launch of 500 Falcons, L.P. in 2017, one of the first MENA-dedicated funds by a U.S. venture capital firm, and Sanabil 500 MENA Accelerator Fund I, L.P. and Sanabil 500 MENA Accelerator Fund II, L.P.
The firm has invested in over 270 companies in the region, including Eyewa, Floward, Foodics, Gathern, Lean Technologies, Lendo, and TruKKer, to name a few. The firm is one of the most active investors in MENA with the highest number of exits in 2022 and as the most influential foreign investor in Riyadh’s entrepreneurial ecosystem.