Riyadh Valley Company (RVC), the investment arm of King Saud University, has made its third limited partner style investment this year in a Saudi-focussed fund to support early-stage startups, it is learnt.
RVC has made a fund-of-fund commitment in Middle East and North Africa’s (MENA) leading early-stage venture capital firm FLat6Labs $40 million Startup Seed Fund. Launched in February this year, the Fund is also backed by Riyadh’s state-owned Saudi Venture Company (SVC) and Jada Fund of Funds.
Prior to this, RVC struck an LP-style bet in tech-focussed venture capital firm STV’s $150 million growth fund in April and American company RRE Advisers’ $250 million ‘VIII Fund’ in January.
“We welcome Riyadh Valley Company as a strategic partner in our Startup Seed Fund. This collaboration will undoubtedly enhance our ability to support startups and drive innovation. We look forward to working together to achieve our shared goal of fostering entrepreneurial success in the country,” said Eyad Albayouk of Flat6Labs.
Flat6Labs’ Seed Fund has invested in over 20 early-stage startups in Saudi Arabia, with an investment value exceeding $3.4 million (SAR 15 million) across sectors. Launched in Egypt in 2011, the Mena-focussed seed and early-stage venture capital firm manages a slew of seed funds with total assets under management more than $85 million. It also has country-specific seed programs across Lebanon, Egypt, UAE, Saud Arabia, Bahrain, Jordan, and Tunisia.
Riyadh Valley Company was set up in 2010, as the investment arm of King Saud University to be the regional leader in knowledge-based investment and technology. It has over seven LP investments, including Hambro Perks’ Oryx Fund, Evolution Technology Fund and Epidarex Capital. Its direct investments include commitment to edutech player Noon Academy, a peer-to-peer social learning app for students across Pakistan and the MENA region. Other portfolio companies include cloud platform Cloudalize, logistics player Trukker, and Australian digital health company PKG Health.