Saudi Venture Capital (SVC) has invested in Khwarizmi Ventures’ second fund, a move set to direct significant capital towards early-stage technology startups across the Gulf. The partnership underscores a continued push to strengthen Saudi Arabia’s position as a central hub for venture capital and innovation in the region.
Quick Facts
- SVC invests in Khwarizmi Venture Capital Fund 2.
- Focus is on Seed to Series A tech startups.
- Minimum 50% of capital is for Saudi-based companies.
A Strategic Push for Early-Stage Investment
The investment is part of SVC’s broader Investment in Funds Program, designed to attract experienced fund managers and stimulate financing for startups at their most critical, early stages. By backing established players like Khwarizmi Ventures, SVC aims to ensure a steady flow of capital and expertise to the Kingdom’s most promising new companies.
Nora Alsarhan, Deputy CEO and CIO at SVC, said: “The investment in the venture capital fund by Khwarizmi Ventures is part of SVC’s Investment in Funds Program and an implementation of its strategy related to attracting fund managers to invest in Saudi based companies and stimulating investment for early stages.”
Empowering Founders Across the GCC
For Khwarizmi Ventures, the backing from a major government entity like SVC provides substantial validation and strengthens its ability to support founders. The fund plans to deploy capital into high-growth tech and tech-enabled startups, helping them build scalable businesses that contribute to the region’s economic development.
Abdulaziz AlTurki, Managing Partner of Khwarizmi Ventures, added: “This partnership represents a shared commitment to empowering entrepreneurs and accelerating the growth of high-potential technology startups. With the support of SVC, we will continue to invest in exceptional founders, helping them build scalable companies that drive innovation, create economic value, and strengthen Saudi Arabia’s position as a leading hub for entrepreneurship and venture capital in the region.”
Fund Focus and Target Sectors
Khwarizmi Venture Capital Fund 2 will primarily target companies from Seed to Series A. While the fund remains sector-agnostic to capture a wide range of opportunities, it has identified strong potential in key growth areas including fintech, e-commerce, and the application of AI across various industries. A core mandate of the fund is to allocate at least half of its capital to startups based in Saudi Arabia.
About Saudi Venture Capital (SVC)
Saudi Venture Capital is a government company established in 2018. It aims to stimulate and sustain financing for startups and SMEs from pre-Seed to pre-IPO by investing $1.6 billion through its Investment in Funds and Co-investment in Startups programs.
About Khwarizmi Ventures
Khwarizmi Ventures is a Saudi-based venture capital firm that invests in early-stage startups in the MENA region. The firm focuses on backing ambitious founders building technology-driven companies with the potential for high growth and regional impact.
Source: Wamda
