SRMG, a global integrated media group, announced the launch of its corporate venture capital arm, SRMG Ventures. In line with SRMG’s transformative growth strategy, SRMG Ventures will invest in early-stage companies and tech within the core target areas: media creators, digital media, media enablers and tools, including generative AI, as well as immersive and interactive entertainment. SRMG Ventures will initially target investments from seed to Series B stage.
What does SRMG Ventures bring to the region?
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.
SRMG Ventures will provide SRMG with access to innovative tech, and new media talent and content creators, that will continue to enhance SRMG’s media portfolio and drive forward the future of media. The venture capital arm will help SRMG penetrate new markets and further diversify its business offering, whilst generating tangible financial returns. SRMG Ventures also announced inaugural investments and partnerships with two fast-growing companies:
- Telfaz11, a Saudi-based creative media studio specializing in locally relevant entertainment content, and producer of the box office hit “Sattar” and feature film “Alkhallat+” which was one of the top ten most watched movies in Saudi Arabia on Netflix.
- VUZ, one of the leading Virtual Reality-enabled social media app that allows users to engage with 360o videos enabling a new level of immersive realism.
What does the VC arm mean for SRMG?
Jomana R. Al Rashid, CEO, 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 AI.”
“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 endeavor,” Jomana said.
This comes at a vital moment for the MENA media and venture capital sectors. The MENA media and entertainment sector is expected to grow at 9% to exceed $20bn by 2026, outpacing global growth. The MENA region, Saudi Arabia in particular, is experiencing a vibrant entrepreneurial ecosystem, with VC funding crossing $3bn in 2022, an annual rise of 8.3%, with Saudi Arabia startups securing $987m in 2022, a 72% increase compared to 2021.
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