The Scoop
Abu Dhabi-based alternative asset manager Shorooq has raised $200 million to address what it sees as a gap that has slowed the Gulf’s startup-to-IPO pipeline, drawing Qatar as a backer for the first time.
Qatar Investment Authority (QIA) joins other sovereign and institutional investors from the GCC and Asia in the new fund, which aims to bring institutional capital to the region’s late-stage and pre-IPO companies, according to a statement seen by Semafor.
“Over the next two to three years, we expect the opportunity set to be strongest in companies that have already proven their economics but now need patient, structured capital to scale and professionalize ahead of public markets,” Mahmoud Adi, founding partner at Shorooq, told Semafor.
Shorooq is eyeing targets in fintech infrastructure, software, AI, and businesses “serving regulated or mission-critical use cases [in the Middle East and North Africa],” Adi said. “These are companies with real revenue, strong margins, and increasing relevance to national and regional priorities.”
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QIA’s participation, announced on the sidelines of Web Summit Qatar, is part of a $3 billion venture fund of funds, as the emirate looks to grow its startup scene. As part of the deal, Shorooq plans to open a Doha office.
The nine-year-old firm has become a hub of Gulf capital: QIA joins Saudi Arabia’s PIF, Abu Dhabi’s Mubadala, and the Dubai Future District Fund as backers. With this latest fund, Shorooq has crested $1 billion in assets under management across venture, private equity, credit, and real assets.
“Fundraising has certainly been slower, but more accurately, it has become far more selective,” Adi said, noting that “growth at any cost” is no longer fashionable. “The companies best positioned for the public markets are those that combine scale with operational discipline, predictable cash flows, and governance maturity.”
Notable
- Property Finder, a Dubai-based real estate portal long thought to be an IPO candidate, has raised nearly $1 billion in equity and debt financing in the last year, Semafor reported.