Arab News, Sat, Mar 16, 2024 | Ramadan 6, 1445
Saudi Venture Capital invests $30m in Olive Rock Partners Fund I
Saudi Arabia:
Regional startup funding is set to see a significant boost as Saudi Venture
Capital announced a $30 million investment in Olive Rock Partners Fund I.
The investment aligns with SVC’s strategy to
develop and sustain financing for startups and small and medium-sized
enterprises in strategic sectors.
Focused on mid-market buyouts that are
demographically driven, geographically advantaged and technologically enabled,
Olive Rock Partners Fund I is a regional private equity fund aiming to boost the
ecosystem.
The agreement was signed by Nabeel Koshak, CEO and
board member of SVC, and Muhannad Qubbaj, founding partner of Olive Rock
Partners, in the presence of key officials from both organizations.
“The investment in Olive Rock Partners Fund I is
part of SVC’s Investment in Funds Program, which is a continuation of the
company’s series of investments and an implementation of its strategy related to
developing and sustaining financing for startups and SMEs, especially in
strategic sectors,” Koshak said.
For his part, Qubbaj expressed gratitude for SVC’s
trust and highlighted the partnership’s potential to fuel growth in the SME
space and enhance the direct investment landscape in Saudi Arabia.
Established in 2018 as a subsidiary of the SME
Bank, part of the National Development Fund, SVC is committed to stimulating and
sustaining financing for startups and new enterprises from pre-seed to
pre-initial public offering stages through investments in funds and direct
investments.
In October 2023, SVC invested $10 million in the
Ruya Private Capital I LP fund, managed by Ruya Partners.
Established in 2020, Ruya Partners is a dedicated
private credit firm offering financial solutions to the private sector in
emerging markets. The fund aims to deliver capital in the form of private debt
to SMEs, focusing on mid-market entities and including later-stage
venture-backed companies within Saudi Arabia and the broader region.
As part of its commitment to minimize financing
gaps for startups, SVC also invested SR112.5 million ($29.9 million) in Saudi
Arabia’s IMPACT46 Fund III in October 2023.
The move was designed to empower late-stage
companies in the region by investing in growth and pre-IPO phases.