MENA Growth Debt Fund, a $100 million venture, introduced by the partnership between Ajeej Capital and Nuwa Capital in the Middle East and North Africa (MENA) region.
In a recent announcement, Sharaf Sharaf, the Fund Head of Amplify Growth Partners, revealed that the new debt capital firm has been created by Ajeej Capital and Nuwa Capital. The firm, Amplify Growth Partnership, aims to bridge the existing debt capital gap and help technology companies in Series A to Series C stages accelerate their growth.
Amplify Growth Partnership specializes in providing debt capital financing to growth-stage businesses. By leveraging the sector expertise and capital management capabilities of Ajeej Capital and Nuwa Capital, the firm aims to support companies scaling their operations without dilutive equity rounds.
The Amplify Growth Fund is designed to meet the growing demand for debt capital in the venture and SME sectors in the region. The fund offers loans starting at $3 million with a 3-4 year term and flexible amortization options. These loans may include a warrant component and will be disbursed in 2-3 tranches.
Sharaf Sharaf, with 20 years of experience in debt and equity investments, leads Amplify and will be responsible for sourcing deals, evaluating opportunities, and managing the firm's portfolio. Sharaf expressed confidence in Amplify's strong pipeline of deals and its potential to make a lasting impact on the market.
Amplify Growth Fund I, the first fund by Amplify, is a $100 million fund dedicated to providing growth debt to technology businesses in the region. The fund is open to VC-backed companies serving GCC markets, have over $5 million in revenue, have recently raised an equity round, and have a low cash burn.
Up to 20% of Amplify's capital is available for businesses outside of MENA aiming to enter the region and for traditional enterprises integrating technology into their operations.
Two other notable debt investors providing capital to startups are Shorooq Partners and Tenami Capital.
Sharaf Sharaf also stated that Amplify aims to build an enduring franchise that empowers companies to access the growth capital they need. The firm unites two pioneering investment firms, Ajeej Capital and Nuwa Capital, to achieve this goal.
The Amplify Growth Partnership's strategy revolves around structured debt products aimed at facilitating growth while balancing risk, distinct from early-stage equity investing or public market operations. Specifics regarding investment sectors or deal structures would generally align with Ajeej Capital and Nuwa Capital's growth equity profile but focused on debt instruments.
While the specific details of Amplify Growth Partnership's strategy are not directly highlighted, insights can be inferred by aligning the context around Amplify-related investment strategies and typical approaches of similar firms. The firm likely concentrates on deploying debt capital to companies that are beyond early-stage equity fundraising and require structured debt financing to scale growth. Their investment strategy would emphasize tailored debt instruments that support business expansion while managing risk exposure.
In conclusion, Amplify Growth Partnership is poised to offer innovative debt solutions to meet the evolving needs of owners, founders, and entrepreneurs in the region, aiming to support the growth of technology companies and bridge the debt capital gap.
Investors at Amplify Growth Partnership plan to use technology to boost the growth of companies they finance, as they focus on providing debt capital financing to technology businesses. With Sharaf Sharaf, an expert in debt and equity investments, leading the firm, Amplify Growth Partnership aims to utilize their strategic partnership with Ajeej Capital and Nuwa Capital to make investments in technology companies that are scaling their operations, without requiring dilutive equity rounds.
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