The $25 million fund “FVFII” of Cairo-based venture capital firm Foundation Ventures has successfully closed its first closing. By encouraging innovation and assisting startups from their infancy to their regional and international growth, this new fund furthers the company’s objective to enhance Egypt’s entrepreneurial environment. Additionally, some of the funds will be used to invest in promising African startups.
Prominent investors such as Onsi Sawiris, the Micro, Small, and Medium Enterprise Development Agency (MSMEDA), and the Egyptian American Enterprise Fund (EAEF) have expressed interest in the fund. Their faith in Foundation Ventures reflects a common goal of creating disruptive generational businesses, promoting local innovation on the international scene, and cultivating a strong entrepreneurial ecosystem in Egypt and throughout the continent.
“Egypt boasts one of the region’s most talented tech pools and one of the largest economies in the Middle East and Africa. The devalued currency offers startups a rare chance to harness superior tech talent and use Egypt as a cost-efficient testbed,” said Mazen Nadim, Managing Partner at Foundation Ventures. “This enables startups to refine their business models locally and emerge as competitive players on the regional and global stages.”
Nadim also highlighted the resilience emerging from Egypt’s evolving market landscape: “The recent market correction has acted as a filter, spotlighting strong, well-managed companies. Founders who prioritised capital efficiency and adaptability have emerged stronger. Shaped by the challenges of the downturn, this new generation of founders is expected to approach business-building with a heightened emphasis on sustainability and operational efficiency.”
Foundation Ventures offers its portfolio companies access to Egypt’s largest enterprise network in addition to capital investments. Startups can flourish locally and expand regionally thanks to this practical approach.
“We are excited to partner with Foundation Ventures and confident in the exceptional talent and vision of their team. This partnership underscores our commitment to supporting innovative entrepreneurs who are shaping the future of the region and our belief in the significant potential of Egypt’s growing venture capital ecosystem to drive economic growth,” commented Yasmine Ghobrial, Chief Investment Officer at the Egyptian-American Enterprise Fund.
