As MAGNiTT continues to keep a close watch on the Saudi Arabian venture capital space, we release a new report on the ecosystem with the support of the Saudi Venture Capital Company (SVC). The half-yearly report is packed with detailed insights on the ecosystem’s evolution over the years and covers key aspects of venture activity in H1 2021.


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Despite 2020 being a positive year for venture funding, 2021 has thus far witnessed a resurgence of sorts. The first half of the year saw half-yearly capital reach a record high, the equivalent of 94% of funding invested in Saudi startups in all of 2020. This was distributed across 41% fewer deals than in FY 2020. Yet, KSA saw its deal flow move closer to the top-ranked MENA ecosystem in the UAE, reducing the gap by 8x in just two years. Fintech startups were responsible for almost one-fourth of these transactions. E-commerce, on the other hand, saw a decline in its contribution to deals, as it did across MENA.

 

Check out a quick overview of the report's key takeaways below.

H1 2021 Saudi Arabia Venture Capital Report – Highlights

•   Year-over-year, VC Funding in KSA increased by 65% in H1 2021

•   KSA witnessed record levels of half-yearly capital raised in H1 2021, accounting for 14% of VC funding across MENA

•   KSA surpassed Egypt to rank second by share of total MENA funding, while accounting for 22% of the region’s VC transactions

•   In H1 2021, every fourth deal in KSA was closed by a Fintech startup, while E-commerce saw a 54% decline in capital

•   Together, Fintech and Food & Beverage startups accounted for 44% of capital deployed in the country in the half-year

•   Almost three-fourth of investors that backed Saudi-based startups in H1 2021 were based within the country
 


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, North Africa, Pakistan and Turkey
•   Market sizing tools to visualize investment growth and trends across industries, geographies and stage
•   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


Keep the region's latest venture data on your fingertips. Access our interactive data charts on Emerging Venture Markets