The firm has announced inaugural investments and deals with two companies which include Telfaz11 and Vuz.
Saudi Research & Media Group (SRMG) has launched its corporate venture capital arm, SRMG Ventures. The SRMG Ventures portfolio will invest in early-stage companies and technologies within SRMG’s core target areas, including media creators, digital media, media enablers and tools, as well as immersive and interactive entertainment, as part of its transformative growth strategy.
SRMG Ventures will initially target investments from the seed to the Series B stage.
SRMG Ventures will enable SRMG to back and empower regional talent and entrepreneurs, acting as a catalyst for further growth of the rapidly evolving media industry in the region. As a result, SRMG will have direct access to innovative technologies and new media talent that will enhance its own media portfolio and drive forward the future of media. The new corporate venture capital arm will additionally help SRMG penetrate new markets and further diversify its business offering, whilst generating tangible financial returns.
SRMG Ventures has also announced inaugural investments and partnerships with Telfaz11, a Saudi-based creative media studio specializing in locally relevant entertainment content; and Vuz, a VR-enabled social media app that allows users to engage with 360o videos enabling a new level of immersive realism.
Speaking about the new venture, Jomana R. Al Rashid, CEO of SRMG, said: “We are excited to continue to lead and support the growth of the dynamic and fast-growing media and content industry in Saudi Arabia and beyond. Our new venture capital arm, SRMG Ventures, will enable us to discover and nurture new talent and content creators, and leverage the latest advances in virtual reality and artificial intelligence. The adoption of cutting-edge technologies will invigorate SRMG’s products and services, further elevating content offerings and experiences for our local and global audiences. Our first investments in two leading companies, one local and one regional, led by exceptional creatives from the Arab world, mark the beginning of this thrilling endeavour.”
The MENA media and entertainment sector is expected to grow at 9% to exceed $20bn by 2026, outpacing global growth. In addition, the MENA region, and Saudi Arabia in particular, is experiencing a vibrant entrepreneurial ecosystem, with venture capital funding crossing the $3bn mark in 2022, an annual rise of 8.3%, with Saudi Arabia startups securing $987m in 2022, a 72% increase compared to 2021.
