- VentureSouq, a UAE-based VC firm, has closed its second fintech Fund (FinTech Fund II), backed by sovereign and institutional LPs, including Jada Fund of Funds (PIF-owned), Saudi Venture Capital Company (SVC), Saudi Awwal Bank (SAB), Mubadala, Takamol, Krafton, and Jordan’s ISSF.
- The fund will focus on early-stage fintech and SaaS investments across MENA, targeting sectors such as payments infrastructure, alternative credit, digital banking, proptech, insurtech, and personal finance management.
- VentureSouq has previously backed Tabby, Huspy, Yassir, Salla, and Mozn and has invested in over 200 companies globally with ~$250 million AUM.
- The closing of Fund II follows the success of Fund I, which invested in 40+ early-stage FinTech startups across MENA and Pakistan.
Press release:
VentureSouq, a GCC-based venture capital firm, announced the close of its second FinTech Fund (FinTech Fund II), reinforcing its position as a leading early-stage investor in the MENA region. The successful close marks a significant step forward for the region’s FinTech ecosystem and is supported by a top-tier group of limited partners, including Jada Fund of Funds, a PIF-owned company; Saudi Venture Capital Company (SVC); Saudi Awwal Bank (SAB); Mubadala Investment Company; Takamol Holding, Krafton, and the Innovative Startups and SMEs Fund (ISSF) of Jordan.
The new fund will focus on early-stage investments in FinTech and adjacent SaaS companies across the MENA region, targeting sectors such as payments infrastructure, alternative credit, digital banking, PropTech, InsurTech, and personal financial management.
Suneel Gokhale, General Partner at VentureSouq, commented, “FinTech Fund II is a testament to the depth of opportunity in this region and the strength of our platform. Since launching our first sector-specific FinTech fund in 2021, we’ve seen tremendous traction across markets. What’s clear is that we’re still early in this journey, but the foundations are now firmly in place. We’re also seeing FinTech as the principal entry point for AI into our region from a deployment standpoint – the impact of which is certainly still ahead of us. This new fund allows us to keep pushing that momentum forward with strong support from partners who understand the regulatory and market dynamics critical to scaling ventures here.”
Maan Eshgi, General Partner at VentureSouq, added: “With Fund II, we’ve built on the foundation we established with Fund I – assembling a strategic LP base that understands the evolving MENA venture landscape and is positioned to actively support our portfolio companies as they scale across the region. Our experience shows that success in MENA requires navigating complex regulatory environments and unlocking cross-border opportunities. With the right stakeholders in place, we’re confident that Fund II will help accelerate the next generation of category-defining startups.”
VentureSouq continues to demonstrate strong momentum in venture capital, with a growing portfolio across FinTech, climate tech, and adjacent emerging technologies. The firm has historically backed several high-growth startups, including:
- Tabby: a leading buy now, pay later platform
- Huspy: an innovative digital real estate platform
- Yassir: a super app serving Algeria, Morocco, and Tunisia
- Salla: a leading e-commerce platform empowering merchants in Saudi Arabia
- Mozn – a Saudi AI company specializing in risk and compliance solutions
Saeed Assiri, Chief Innovation Banking Officer at Saudi Awwal Bank, said: “This fund exemplifies the type of strategic partnerships we champion at SAB – one of the leading banks in the Kingdom of Saudi Arabia – where innovation is a shared journey between visionary founders, institutional investors, and forward-leaning stakeholders. We believe strongly in the transformative potential of MENA’s FinTech sector and in the value of building enduring foundations that will enable its growth for decades to come. Our collaboration with VentureSouq reflects our steadfast commitment to shaping the region’s innovation economy in ways that serve both today’s entrepreneurs and tomorrow’s society. This further demonstrates our commitment to driving financial innovation in Saudi Arabia.”
He added: “At SAB, we are deeply focused on supporting visionary investment platforms that align with our innovation strategy and contribute meaningfully to the region’s growth. VentureSouq continues to demonstrate strong momentum in venture capital, with a growing portfolio across FinTech, climate tech, and adjacent emerging technologies. With a strong track record of strategic investments and successful exits, VentureSouq remains a key player in advancing innovation across the MENA region.”
Earlier this year, Forbes named VentureSouq one of the Top Venture Capital Firms in the Middle East for 2024, a recognition that underscores growing institutional confidence in VentureSouq’s leadership in emerging markets and its integrated approach to innovation investment.
Since its inception, VentureSouq has emerged as a cornerstone investor in the MENA startup ecosystem. Through its first FinTech fund, the firm backed over 40 early-stage startups spanning the UAE, Saudi Arabia, Egypt, Jordan, and Pakistan. Many of these companies have since raised follow-on rounds from global investors and scaled across markets.
VentureSouq provides more than just capital – it offers regulatory insight, operational support, and a hands-on, founder-first approach. Its platform connects public and private capital to drive innovation at scale across the region.
According to a recent industry report, the MENA region is projected to be the fastest-growing FinTech market globally, with expected net revenue growth of 35% annually through 2028, significantly outpacing the global average of 15%.
FinTech Fund II builds on the success of VentureSouq’s first FinTech-focused fund – the first vertical fund of its kind in MENA – and highlights rising institutional confidence in the long-term potential of the region’s FinTech sector.