Investment company Shorooq has ambitions to become the Blackstone of the Middle East to fill a gap in the market for private investors that pushes economies forward. Founding partner Mahmoud Adi credited Saudi Arabia as a cornerstone of what the investment firm is working to achieve, citing consumer confidence in the kingdom's economic growth as contributing to significant opportunities for companies to build up products and services.
Shorooq has $500 million assets under management and counts Saudi-based buy now, pay later (BNPL) firm Tamara and UAE-based vertical farm Pure Harvest among its investments.
Sovereign wealth funds (SWF)-backed entities such as Abu Dhabi-based Lunate as well as Mubadala and the Saudi PIF-backed Jada Fund of Funds are investors in its funds.
Shorooq sees itself as the potential Blackstone of the region, as it works with companies from seed funding stage up until IPO. Early-stage companies are not able to access SWF capital alone, Adi told Zawya on the sidelines of the kingdom's Future Investment Initiative conference in Riyadh this week, but the existence of Shorooq allows that to happen.
Other early-stage companies such as investment and personal finance app Sarwa, peer-to-peer lender Lendo and digital freight platform Trukker are among Shorooq's portfolio. One of its most recent investments was leading a $15 million round into UAE-based fintech Abhi, a lending platform aimed at allowing blue collar workers to access their salaries in advance of paydays.
Read more at Zawya