STV, the Saudi-based venture capital (VC) investor, is reportedly considering launching a second fund worth $500 million in order to capitalise on what it says is growing investor interest in the Mena region’s startup market.
Speaking at a recent Bloomberg conference, STV’s chief executive Abdulrahman Tarabzouni said: “I definitely see a path to a second fund that is equal or larger to the $500 million fund we have today”.
Venture capital investments in Saudi Arabia are forecast to grow tenfold by 2025, according to a report by STV.
The VC firm cites Uber’s acquisition of Careem Network in March for $3.1 billion and Amazon’s purchase of Dubai-based retailer Souq.com in 2017 as evidence of a growing appetite for large venture capital investments in the region.
STV was formed in 2017, led by ex-Google executive Tarabzouni and funded by Saudi Telecom.
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