ISSF, or The Innovative Startups and SMEs Fund, of Jordan, has invested $5 million in MSA Novo’s Middle East & North Africa fund, it announced in a statement on Monday. MSA Novo is a multi-stage emerging-markets focused VC arm of MSA Capital. ISSF has previously also invested in at least one other MSA Capital’s fund.
The news follows MSA Capital’s announcement that it is planning to launch a billion-dollar fund to invest in pre-IPO startups in the Middle East & North Africa.
MSA Novo’s portfolio includes companies like UAE’s Tabby and Qashio, Saudi’s Sary and Zid, Egypt’s Homzmart and Flextock, Turkey’s Getir, Pakistan’s PostEx, India’s Jar, and Jordan’s Tamatem Games. With the investment from ISSF, they would now look to deploy more actively in Jordan.
“This strategic investment unlocks new opportunities for Jordanian startups, providing them with the financing needed to scale and thrive in the competitive global market. The ISSF remains dedicated to championing innovation, creating jobs, and contributing to Jordan’s economic development,” noted a statement announcing the investment.
Started in 2017, ISSF is a $98 million fund that invests in funds and Jordanian startups. The fund was set up by Jordanian government but is privately managed. The World Bank invested $50 million in it and the rest of $48 million came from Central Bank of Jordan.
Its portfolio funds in Jordan include Oasis 500, Silicon Badia, and Propeller. ISSF is also an LP in Shorooq Partners, Endeavor Catalyst, Arzan Venture Capital, Access Bridge Ventures, Global Ventures, Middle East Venture Partners, Vision Ventures, and a few other funds.
Mohammed al Muhtaseb, CEO of ISSF, said, “We are very proud of our investment in MSA Novo, a global VC with a successful track record of scaling innovative startups. MSA has demonstrated a strong commitment to the Jordanian ecosystem, evident in both their investment thesis and their investment allocation for Jordan, which mobilizes additional capital for Jordanian startups, thereby amplifying the ISSF’s investment.”
“Through this strategic investment, our objective is not just to infuse vital equity capital but also to effectively open doors for Jordanian startups, providing them with accelerated access to global markets through the expertise of a key international player in the venture space,” he added.
Ben Harburg, Managing Partner of MSA Novo, said, “ISSF was one of the first regional sovereign investors to support MSA’s vision of bringing global institutional investing to the Middle East venture space. In the process, MSA generated hundreds of jobs in Jordan.”
“We are honored to again receive the trust of this critical institution tasked with the development of the Jordanian technology and entrepreneurship ecosystem, and we look forward to robustly executing upon this mission in our new fund,” the MSA executive added.
