Egyptian venture capital firm Sawari Ventures is gearing up to launch its second fund, “Sawari Ventures II,” in early 2025, with a target capitalization of $200 million, according to sources familiar with the matter. This new fund aims to build on the success of its predecessor, incorporating a dual investment approach that combines local and international investment strategies.
The structure of Sawari Ventures II will include an Egypt-based fund designed to mobilize local investors to support startups within the country, alongside another fund targeting international investors and development financial institutions. The latter will focus on opportunities across Egypt, Tunisia, Morocco, Kenya, and West Africa. Approximately 70% of the total fund, or about $140 million, is earmarked for investments within Egypt over the next four to five years.
The firm plans to primarily target startups at the Series A and Series B stages, with a smaller portion allocated to seed-stage investments. In particular, Sawari Ventures is keen to bolster its investments in financial technology and deep technology sectors while expanding into digital education, health technology, climate technology, and agricultural technology. A representative from Sawari Ventures stated, “Through this fund, we seek to build on the successes of our first fund while expanding into new sectors and regions where we see tremendous opportunities for growth and impact.”
Recently Sawari Ventures partnered with Bpifrance, France’s largest venture capital firm, to establish operations in Egypt, highlighting its commitment to enhancing ties between Africa and the Middle East.
Bpifrance’s entry into Egypt is part of a broader vision to create a seamless exchange of innovation, talent, and capital between France, Africa, and the Middle East. The partnership aims to improve access to finance for French companies seeking to expand into African markets and for African companies looking to establish research and development (R&D) operations in France.