EXCLUSIVE: Dubai-based Yango Group launches $20mn fund to again regional tech startups 

“We’re greater than a tech firm; we’re an ecosystem dedicated to empowering entrepreneurs worldwide,” mentioned Daniil Shuleyko, CEO of Yango Group. “By means of Yango Ventures, we’re sharing our experience and community to assist startups scale, thrive, and drive significant change of their communities.”

The fund’s creation represents a major enlargement of the Group’s operations past its core enterprise of adapting international expertise options for native markets. The corporate has constructed a various portfolio together with ride-hailing service Yango Journey, leisure platform Yango Play, cost answer Yango Pay, and navigation service Yango Maps throughout greater than 30 markets globally.

Fund targets 20x returns on Sequence A offers

Yango Ventures goals to leverage this intensive operational expertise to supply extra than simply capital to portfolio firms. The fund will draw on experience from a board comprising professionals who’ve developed and scaled platforms throughout mobility, leisure, fintech, AI, and different sectors.

“Our mission is easy: let individuals develop with us,” Shuleyko mentioned. “By supporting native expertise with the precise instruments and sources, we intention to foster sustainable enterprise progress and contribute to resilient and inclusive economies throughout the globe.”

For Sequence A startups, which the fund identifies as its “candy spot,” Yango Ventures is focusing on returns of 10-20x over an unspecified timeframe, in accordance with paperwork reviewed by Arabian Enterprise. The fund’s method emphasises figuring out ventures with robust market match and scalable enterprise fashions the place Yango’s experience can present extra worth.

Dubai HQ positions fund to faucet ‘excessive progress’ markets

The fund’s geographic focus aligns with the Group’s present market presence, focusing on areas the corporate believes provide substantial entrepreneurial potential amid quickly growing digitalisation.

Talking completely to Arabian Enterprise, a Yango Ventures spokesperson defined the rationale.

“These dynamic, high-growth markets provide substantial alternatives, and we leverage our international experience to assist startups scale and succeed, driving digitalisation and sustainable affect within the areas we serve.”

Whereas the fund has but to announce any investments, it’s “actively partaking in discussions with a number of promising startups that align with our funding focus and entrepreneurial mission,” the spokesperson confirmed.

Yango pledges autonomy for founders

In contrast to some company enterprise funds, Yango Ventures doesn’t plan to exert vital management over its portfolio firms or search board seats as a normal apply.

“We don’t plan to be concerned in each day operations. As a substitute, we offer help to entrepreneurs after they request it, providing steerage and connections to assist them as wanted,” the spokesperson mentioned.

This hands-off philosophy extends to the fund’s merger and acquisition technique. Whereas not ruling out future M&A exercise, the fund emphasised that such transactions are “not certainly one of our main goals presently.”

The fund additionally plans to collaborate with different enterprise capital corporations and companions to reinforce its funding actions, sharing insights and offering complete help to entrepreneurial ecosystems throughout its goal areas.

Capital increase deliberate as preliminary investments show out

Past direct investments, Yango Ventures varieties a part of the Group‘s wider technique to drive digital transformation and entrepreneurial progress.

The corporate organises networking occasions for professionals and companions with academic establishments to develop sensible abilities for future innovators.

The fund’s launch comes amid rising curiosity in enterprise capital alternatives throughout rising markets, with a selected concentrate on fintech, mobility, and software program providers that may serve quickly digitalising economies.

Whereas beginning with $20 million in dedicated capital, Yango Ventures has indicated it might develop the fund’s measurement pending the efficiency of preliminary investments.