Silicon Valley's General Catalyst makes first investment into Saudi Arabia through fintech Lean Technologies
Saudi Arabia's fintech startups have raised over $1.84 billion in venture capital investments since 2018, according to the kingdom's SME authority.
Silicon Valley venture capital firm General Catalyst has made its first investment in Saudi Arabia through fintech startup Lean Technologies, which just closed a Series B round worth $67.5 million.
#technology #funding #saudiarabia #fintech #leantechnologies
General Catalyst has $30 billion in assets under management and has backed major U.S. tech companies like Snap, Stripe and AirBnb. Lean Technologies' fundraising round also saw participation from Bain Capital Ventures, Stanley Druckenmiller's Duquesne Family Office, and Arbor Ventures, among others, bringing the Riyadh-based firm's total funding to over $100 million to date, according to a Sunday statement from the company.
For three of those investors — General Catalyst, Stanley Druckenmiller and Bain Capital — this investment is their first in the kingdom.
What this signifies, Lean Technologies CEO and co-founder Hisham Al-Falih told CNBC, is that "this is a huge vote of confidence for their view of the growth trajectory that Saudi is on and the potential that it has over the next decade."
The kingdom is pushing ahead with Vision 2030, its initiative to diversify its economy away from oil and create new jobs and industries for the overwhelmingly young Saudi workforce. Now more than ever, the kingdom wants foreign capital and direct investment coming into Saudi Arabia rather than flowing out of it, allowing for local employment, knowledge transfer and training, and the development of a variety of sectors.
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