Sawari Ventures, an Egypt-based venture capital firm, is gearing up to launch its second fund, “Sawari Ventures II,” in early 2025, with a target of raising $200 million. This new initiative aims to build on the successes of the firm’s first fund while expanding into new sectors and regions across Africa. With the growing demand for investment in technology and innovation, Sawari Ventures II is poised to make a significant impact on the startup ecosystem in the region.
The fund will consist of two main components: an Egypt-focused fund to mobilize local capital and an international fund aimed at attracting foreign investors and development finance institutions. This strategic approach will enable Sawari Ventures to support startups not only in Egypt but also in Tunisia, Morocco, Kenya, and West Africa. Approximately 70% of the total $200 million, or $140 million, will be earmarked for Egyptian startups over the next four to five years, highlighting the firm’s commitment to fostering local innovation.
Sawari Ventures plans to focus its investments primarily on startups in their Series A and B stages, while also reserving a portion of the fund for seed-stage investments. This targeted approach reflects the firm’s strategy to capitalize on high-growth sectors such as financial technology, deep technology, digital education, health technology, climate technology, and agricultural technology. By diversifying its portfolio across these areas, Sawari Ventures aims to tap into sectors with significant growth potential and societal impact.
In a noteworthy move, Sawari Ventures recently partnered with Bpifrance, France’s largest venture capital firm, which has led to the establishment of Bpifrance’s operations in Egypt. This partnership aims to strengthen collaboration between Africa, the Middle East, and France, particularly in the realms of innovation, talent exchange, and access to finance. Such cross-border initiatives are expected to facilitate capital access for startups on both sides, further bolstering the entrepreneurial landscape.
The successful track record of Sawari Ventures’ first fund has already established a strong foundation for supporting Egyptian startups. The launch of Sawari Ventures II represents a strategic step toward expanding its regional footprint while reinforcing ties between African startups and international markets. By targeting high-growth sectors and fostering cross-border partnerships, Sawari Ventures is poised to play a pivotal role in shaping the future of innovation in Africa.
As Sawari Ventures prepares for the official launch of its second fund, the African startup ecosystem stands to benefit from increased investment in key areas driving technological and economic advancement. With plans for a $150 million investment fund specifically supporting Egyptian startups announced in February 2024, Sawari Ventures is committed to fueling the growth of innovative businesses across the continent.
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