2021 Egypt Venture Investment Report
In a fast-evolving market, Egyptian startups were able to leave their mark on the VC map over the past year. Sealing a record-breaking run of VC investment, we explore extensive data with ITIDA to bring you a deep dive into Egypt's top-performing industries and most-funded ventures in 2021.
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Following a four-year consecutive growth in VC funding, the Egyptian ecosystem observed a 168% YoY increase in capital investment to reach a new all-time high record of $491M. Nearing the $500M mark is a great milestone especially as it comes in congruence with unprecedented investor participation, wherein investors backing Egypt-based startups almost doubled between 2020 and 2021. While Egypt was the only geography in MENA’s top 3 to record an increase in the proportion of Early-Stage deals (<$500K), Later-Stage deals also took off accounting for 10% of all transactions for the first time.
E-commerce and FinTech were the most active industries by number of deals over 2021. However, observing a watershed moment for the ecosystem, Egypt recorded its first Mega Deal ($100M+) to date which put Transport & Logistics in first place by total funding.
2021 Egypt Venture Investment Report- Key Highlights
- The Egyptian VC ecosystem observed a 168% YoY growth in capital investment to near the $500M mark in 2021 invested through 26% more deals than FY 2020.
- In an exceptional year for investor participation, Global and Local investors backing Egypt-based startups almost doubled between 2020 and 2021 with more than 50% being international investors.
- Egypt recorded its first-ever mega deal with a $120M investment in Halan as general funding activity inclines towards late-stage deals.
- A record number of 7 Exits were announced in Egypt over 2021 with acquirers from the US, KSA, SA, and Oman.
This report was created with data from MAGNiTT, which is a comprehensive directory of emerging tech and new business strategies through tools like:
• Investment directories, a comprehensive list of all startup venture funding across the Middle East, Africa, Pakistan, and Turkey
• Market sizing tools to visualize investment growth and trends across industries, geographies, and stages
• Startup resources including a deal flow tool for applications to leading Venture Capitalists for investment
• Exit comparisons, looking at Mergers & Acquisitions from across the region
About the Sponsor
The IT Industry Development Agency (ITIDA) is the executive arm of the Egyptian Ministry of Communication & Information Technology. Since its establishment in 2004, ITIDA’s core ideology has been spearheading the development of Egypt’s IT industry.