Abu Dhabi: e& (formerly known as Etisalat Group) today announced its strategy for e& capital, its investment pillar in GITEX Global. e& capital revealed the latest deals and information on how e& plans to further its aspirations as a global technology and investment conglomerate through its $250 million e& capital Venture Capital fund. e& capital will further drive the technology ecosystem through increased growth-stage investments beyond its venture capital fund.
Earlier this year, e&’s transformation provided the right foundation for the Group to consider growth and venture capital investments for early-stage entrepreneurs and new start-ups. e& capital VC’s mandate is to attract, engage and support startups, adding value to their journey by capturing synergies, providing access to networks of investors and experts, and taking a collaborative approach. Building on the Group’s strong foundations of over four decades of growth, e&capital has the ability to discover and invest in startups with significant market potential, a passionate founding team, a disruptive business model and superior potential. from technology and business performance. perspective.
e&’s equity investments will play a critical role in enhancing the offering for e&’s clients, with the e& investment arm already closing significant deals, a testament to their determination and skills. It has already made a strategic investment in VUZ, a leading immersive social application that enables users to stream and experience a new level of immersive realism in extended reality (XR) and metaverse digital experiences. Through its contribution to the $20 million Series B funding round for VUZ, e&capital remains committed to supporting startups that show the promise to build value and scale in the near future.
e& capital also funded Lablabee, a technology startup that will grow the world’s first hands-on lab platform for the telecommunications cloud, offering training that is more interactive and accessible. Lablabee has demonstrated the potential to transform your novel ideas into a viable business solution that will add value to customers and impact the technology industry.
At GITEX Global, e&capital demonstrated how it is supporting early-stage entrepreneurs with a vision to build great businesses by providing education, mentorship, networking and financing opportunities. In particular, e& will support top regional female founders through cash prizes and other tangible rewards during one of the region’s most important exhibitions and conferences.
Hatem Dowidar, CEO of the e& Group, said: “We believe that the trends that shape the future are worthy of investment. With the e-equity and future-focused equity business model, we want to be custodians of innovation by meeting our business goals, executing significant investments, and gaining global exposure. The uniqueness of e& capital revolves around several core elements: building on e&’s strong foundation, supporting bold startups that can make a difference, and acting as a catalyst to turn great ideas into tomorrow’s leading businesses. Given the close interaction between the various commercial pillars of e&, e& capital will evaluate the synergies that help us to accelerate the commercial growth of the new companies and the Group”.
Kushal Shah, Head of Venture Capital, e& capital, added: “As the investment arm of e&, our vision is to invest in business ideas that power a brighter and better digital future. Building on e&’s strong foundation as a global technology and investment conglomerate, we are now taking leaps and bounds to support visionary technology companies by enabling synergies and providing access to innovation. Once this happens, the regional tech ecosystem will evolve dramatically. Big changes never happen overnight, and we’re setting ourselves up for a long-term goal of enabling meaningful progress that moves the world forward. As we build a portfolio of fast-growing businesses that are already proven winners, we look forward to getting things rolling on venture capital and growth investments, as we are confident of a thorough process that will build and maintain momentum on an ongoing basis.” .
According to a MAGNiTT market study and based on their MENA venture investment report Q3 2022 Recently published, funding in the first three quarters of 2022 stood at USD 2,331 million, registering an annual increase of around 20%. However, this growth in financing has occurred in the context of the number of operations closed in the aforementioned period reaching 446, 4.7% less annually.
In continued positive momentum, the United Arab Emirates, Egypt and Saudi Arabia maintained the top three positions for number of deals and value of funding, capturing more than 75% of the region’s shares. The United Arab Emirates topped the list of funding stocks with $845 million across 117 deals in the first three quarters of 2022, while Saudi Arabia followed with $818 million across 106 deals and Egypt ranked third with $392 million in funding. 120 agreements. Bahrain emerged in the top five with $120 million following a $110 million MEGA deal closed in January. FinTech remains the industry of choice, ranking first in both the number of deals touched 94 with a 21% share and the value of funding which increased 74% to $747 million with a 32% share . In terms of the number of deals, e-commerce and transportation and logistics (T&L) ranked second and third with respective shares of 15% and 10%. In terms of financing, T&L ranked second with a 13% share, while Food & Beverage (F&B) ranked third with a 10% share. Agriculture emerged among the top five industries for financing in the first nine months of 2022. This followed the $181 million MEGA round closing in June 2022. On par with the Gross Domestic Product (GDP) of an economy of the G7, according to the consulting company Startup Genome.
Given the aforementioned venture capital funding trends in the region, e&capital wishes to promote the positioning of the MENA technology sector among its global peers, successfully and sustainably scaling local startups to reach the global stage. e& capital is also ready to make bold and consistent investments and stay the course, fueled by teams and expertise that work in tune with the pulse of the market.
Etisalat Group has changed its brand identity to e&, effective February 23, 2022. Its strategy aims to accelerate growth by creating a resilient business model that represents the main business pillars of the Group. Currently, the telecommunications business continues to be led by etisalat by e& in the local e& market and by e& international in its international markets, maintaining the Group’s rich telecommunications heritage, reinforcing the solid telecommunications network and maximizing value for customers. various customer segments of the Group. Increasing digital services for individual customers to elevate their digital-first lifestyle, e&life brings next-generation technologies through smart platforms in entertainment, retail, and fintech. To maximize the digital potential of governments, large-scale enterprises and corporations, e&enterprise focuses on delivering innovative digital vertical value propositions through its comprehensive solutions in cybersecurity, cloud, Internet of Things (IoT) and artificial intelligence. (IA), as well as the deployment of megaprojects. e& capital allows the Group to focus its efforts on driving new investments while maximizing shareholder value and strengthening its global presence.
e& (formerly known as Etisalat Group) is one of the world’s leading technology and investment conglomerates. With consolidated net income of AED 53.3 billion and consolidated net profit of AED 9.3 billion for 2021, its high credit ratings reflect the company’s strong balance sheet and proven long-term performance.
Founded in Abu Dhabi over four decades ago as the UAE’s first telecommunications company, the Group now operates in 16 countries across the Middle East, Asia and Africa.
e& provides innovative digital solutions, smart connectivity and next generation technologies to a variety of customer segments through its business pillars: etisalat by e&, e& international, e& life, e& enterprise and e& capital.
For more information about e&, please visit: https://eand.com/
e& capital is the investment pillar of e& that invests in the ideas and people that will build a better and brighter digital future. Support visionary technology companies by participating in the success of the company, helping them grow and enabling significant progress that moves this world forward.
e& capital invests in startups that dare to alter and challenge the way things are, because they believe in something better. Collaborate with bold entrepreneurs to turn their great ideas into the leading businesses of tomorrow.
In light of the limitless possibilities, e&capital invests in companies that have proven the value of their services in specific markets and helps them achieve a scale that also benefits consumers and the entire ecosystem.
For more information on e& capital, visit