Red Sea Global (RSG), the developer behind Saudi Arabia’s ambitious regenerative tourism destinations The Red Sea and AMAALA, has announced a strategic partnership with Bunat Ventures Limited (Bunat VC) to launch a first-of-its-kind venture fund dedicated to artificial intelligence (AI) startups in the Kingdom.
The new AI Venture Fund will focus on investing in early and growth-stage startups that are either AI-native or utilize AI as a foundational component of their business models. The initiative is set to significantly bolster the Kingdom’s growing technology and innovation ecosystem.
A Catalyst for KSA’s AI Ecosystem
Over the next three years, the fund aims to build a portfolio of approximately 25 startups, providing both pre-seed and growth-stage capital. With a strategic focus on Saudi-based entrepreneurs and Saudi-founded global ventures expanding into the Kingdom, the fund is positioned to unlock new opportunities for innovation, job creation, and digital transformation.
The initiative is expected to act as a powerful catalyst for the local innovation landscape by encouraging collaboration between investors, academic institutions, and technology partners, while also attracting global talent and promoting knowledge exchange.
Beyond Capital A Strategic Partnership
A key differentiator of this fund is the strategic value it offers beyond financial investment. Portfolio companies, particularly those based in Saudi Arabia, will gain unique access to RSG’s world-class infrastructure and operational environments.
This will provide a state-of-the-art sandbox for startups to pilot, test, and validate their technologies within a real-world setting, accelerating their development into national and regional champions in the AI space.
Fostering National Champions
Leaders from both organizations emphasized the partnership’s role in advancing the Kingdom’s digital ambitions and fostering a new generation of innovators.
“At Red Sea Global, we view innovation as a catalyst for a regenerative future. This partnership with Bunat VC reflects our belief that technology is fundamental to sustainability, enabling us to invest in bold ideas that will accelerate the Kingdom’s digital transformation and inspire global progress,” said Sultan Moraished, Group Head of Technology and Corporate Excellence at Red Sea Global.
Khaled Zainalabedin, CEO and Managing Partner at Bunat VC, added: “Our collaboration with Red Sea Global brings together visionary development and agile venture capital. Together, we are building a platform to empower the next generation of Saudi AI pioneers who will redefine industries, shape communities, and strengthen Saudi Arabia’s leadership in the global innovation arena.”
About Red Sea Global
Red Sea Global (RSG) is a closed joint-stock company wholly owned by the Public Investment Fund (PIF) of Saudi Arabia. It is a world-leading developer of regenerative tourism destinations, including The Red Sea and AMAALA. By employing the most innovative concepts and technologies, RSG aims to create, protect, and enhance destinations for people and the planet.
About Bunat VC
Bunat Ventures is a venture capital firm that invests in and empowers promising startups. The firm partners with visionary founders to build disruptive companies that can shape the future of industries and contribute to the economic growth and innovation landscape of Saudi Arabia and the wider region.
Source: Mystartupworld
