"General Catalyst Backs Saudi Arabian Startup: A New Era for Investment in the Middle East"
General Catalyst to Invest in Saudi Arabian Startup
Source: TechCrunch
Investment Overview
- General Catalyst is reportedly planning to invest in Lean Technology, a fintech startup based in Saudi Arabia.
- This marks General Catalyst's first investment in the Middle East.
Background Context
- Despite Saudi Arabia's history of human rights abuses, there is a growing interest among U.S. investors in Saudi startups.
- Recent U.S. investments in the region include the lending platform Tamara, which gained backing from Coatue Management.
- A16z-backed Flow, led by Adam Neumann, opened a co-living community in Riyadh, further indicating investor interest in the region.
Saudi Investment Landscape
- The Public Investment Fund of Saudi Arabia operates through its venture arm, Sanabil Investments, partnering with various U.S. venture firms.
- General Catalyst is not listed as one of the VC firms backed by the Saudi fund on its official website.
Conclusion
The planned investment by General Catalyst indicates a shifting perspective on investments in Saudi Arabia's startup ecosystem, despite previous global concerns regarding the nation's human rights record.
