MIS signs MoU with Fransi Capital to establish fund of SR150 mln to invest in venture capital

Al Moammar Information Systems (MIS) announced on Wednesday the signing of a Memorandum of Understanding (MoU) with Saudi Fransi Capital to establish a special investment fund to invest in venture capital in the technology sector, with a focus in the Kingdom of Saudi Arabia.

Here are some of the key terms of the MoU:

• Saudi Fransi Capital intends to establish and manage a venture capital fund (hereinafter referred to as the “Fund”) with the primary investment objective of making early-stage capital investments in technology start-ups primarily in the Kingdom of Saudi Arabia. Specifically, the fund will target investments in concepts and ideas that promise significant technological innovation, whether it is the strength of its transformer in traditional industries or meets the new requirements and needs of the digital economy. The fund will have a broad focus on the sector and will continue to invest in areas such as software, digital services, systems, security, consumer services, healthcare technology, and financial technology.
• The fund will be established as a private investment fund in the Kingdom of Saudi Arabia in accordance with the Investment Funds Regulations issued by the Saudi Capital Markets Authority.
• Al Moammar Information Systems aims to set up, either as an internal division of the company or as a separate subsidiary, a business incubator, accelerator, and innovation lab (hereinafter referred to as “MIS Lab”) with the primary objective of screening, identifying and developing technology start-ups with Focus on disruptive (regenerative) and innovative technologies. Al Moammar Information Systems will ensure that the MIS laboratory is prepared in accordance with international best practices, financed, and adequately staffed to be able to carry out its tasks and objectives. MIS Lab will have a dual focus on both developing and leveraging technology start-ups developed in-house from Al Moammar Information Systems, as well as providing an effective and world-class platform to encourage independent and innovative entrepreneurs from across Saudi Arabia and the surrounding region.
• The Fund intends to appoint MIS Lab as an exclusive investment advisor and innovation partner, and MES Lab’s primary responsibility will be to research, acquire and advise on the acquisition of stakes in companies that align with the Fund’s investment objectives.
• The initial required size of the fund is expected to reach SR150 million.

Al Moammar Systems Company announced the latest developments regarding the above-mentioned Memorandum of Understanding that it has been agreed to move forward and take the necessary steps to launch the Special Fund to invest in venture capital in the technology sector, with a focus in the Kingdom of Saudi Arabia. Therefore, the two parties agreed to complete the necessary steps within a period not exceeding two months to allow sufficient time to complete the foundation steps and launch the fund at the end of the second quarter and the beginning of the third. The company will announce any material future developments in a timely manner.

Al Moammar Information Systems (MIS) announced the signing of a Memorandum of Understanding (the “MOU”) with Saudi Fransi Capital with the amount of SR 150 million, with the intention of launching a private investment fund with the objective of investing in venture capital opportunities within the technology sector in the Kingdom of Saudi Arabia.

This comes with reference to the announcement by Al-Moammar Information Systems Company (MIS) on the Tadawul platform on 09.08.2021 of signing a memorandum of understanding with Saudi Fransi Capital to establish a special investment fund to invest in venture capital in the technology sector, with a focus in Saudi Arabia.