Riyadh-based Khwarizmi Ventures has announced the first close of its second fund, securing more than SAR 270 million ($70 million+) to invest in early-stage technology companies across the GCC. The fund, which saw commitments from institutional investors and prominent Saudi family offices, will target startups from Seed to Series A.
Quick Facts
- Fund II first close exceeded SAR 270M ($70M+).
- Targeting GCC startups from Seed to Series A.
- Initial check sizes will range from $1M to $5M.
Building on Fund I’s Success
Launched in 2021, Khwarizmi’s $70 million debut fund established the firm as one of Saudi Arabia’s most active early-stage investors. The fund backed over 30 startups, including notable names like Calo, Eyewa, Tamara, and HALA.
With five successful exits already recorded, Fund I has started returning capital to its investors within its first five years, signaling strong performance and setting the stage for this larger second fund.
Capitalizing on Saudi Arabia’s Deepening Tech Scene
The launch of Fund II comes as Saudi Arabia solidifies its position as MENA’s largest and fastest-growing venture market. In 2025 alone, Saudi startups attracted a record $1.7 billion in funding, a 145% year-over-year increase.
This growth is underpinned by solid market fundamentals, including a young, tech-savvy population and world-class digital infrastructure. The ecosystem is also showing signs of maturity with more experienced founders, greater participation from local institutions, and growing interest from international investors. These factors create a fertile ground for new technology companies to scale across both consumer and enterprise sectors.
Investment Thesis and Founder Support
Khwarizmi Ventures will maintain a sector-agnostic approach for Fund II, with a continued interest in fintech, consumer technology, and AI applications. The fund plans to write initial checks between $1 million and $5 million and has reserved significant capital for follow-on investments to support its portfolio companies through their growth stages.
Beyond providing capital, the firm actively assists its founders with business development, talent acquisition, subsequent fundraising rounds, and market entry into Saudi Arabia. The leadership team, which includes Managing Partner Abdulaziz AlTurki alongside partners Homam Meaddawi and Arjun Chopra, leverages its combined experience in investing and building startups in the US, India, and the MENA region to provide hands-on support.
About Khwarizmi Ventures
Khwarizmi Ventures is a Riyadh-based venture capital firm that invests in early-stage technology companies across the GCC. The firm backs ambitious founders building the next generation of high-growth companies. Its portfolio from Fund I includes over 30 startups such as Calo, Eyewa, SiFi, Tamara, and HALA. The leadership team brings together deep experience across investment, technology, entrepreneurship, and consulting to support founders.
Source: Entarabi
