Abu Dhabi’s Mubadala Capital launches $250 mln tech funds to invest in startups

Mubadala Capital launched $250 million tech funds to invest in startups. (File photo: Reuters)

Abu Dhabi’s Mubadala Capital on Monday launched $250 million tech funds to invest in startups in the United Arab Emirates and across the Middle-East and North Africa region (MENA).

Mubadala said the investment will include a $150 million “fund of funds” program, to inject in funds and startups in Hub71 – a key initiative of the Government’s Ghadan 21 economic acceleration plan.

This is the latest in a series of funds aimed at boosting local startups and entrepreneurship in the United Arab Emirates. Last year, Abu Dhabi launched a 535 million-dirham fund with similar objectives.

“The MENA funds will drive the economic development of Abu Dhabi by stimulating tech investment activity,” Head of Ventures at Mubadala Capital Ibrahim Ajami said in a statement.

Mubadala said the first investment would be in Dubai-based Bayzat, an HR solutions startup. Bayzat, which has its operations in Hub71, has raised a total of $31 million from regional and global investors.

The program will also include a further $100 million fund for direct investments in early stage technology companies led by “exceptional” founders within the Hub71 ecosystem.

The fund, which will invest in founder-led companies in enterprise and consumer sectors, aims to back 15 companies.

Mubadala Capital is the financial investment arm of Abu Dhabi’s sovereign wealth fund, Mubadala Investment Company.

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Last Update: Wednesday, 20 May 2020 KSA 09:53 - GMT 06:53
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