Endeavor Catalyst, the co-investment fund linked to the global entrepreneurial network Endeavor Global, announced on Tuesday that it is raising a $300 million fund to support high-growth startups in the Middle East and North Africa (MENA), Africa, Latin America, and Southeast Asia.
This is its fifth and largest fund, aiming to bridge the funding gap in emerging markets during the global venture capital slowdown.
New $300 million fund targets growth-stage startups in MENA and beyond
The $300 million fund is in early fundraising stages, with Endeavor Catalyst engaging family offices, development finance institutions, and successful tech founders from its global network as potential investors. If closed successfully, this fund will raise the firm’s total assets under management to over $800 million, reinforcing its position as a significant venture capital player in emerging markets.
Unlike traditional venture capital firms, Endeavor Catalyst invests exclusively in founders vetted by Endeavor Global’s network, referred to as “high-impact entrepreneurs.” The fund focuses on growth-stage startups, typically participating in equity rounds of $5 million or more, usually between Series A and C. This approach aims to provide critical growth capital to startups that often struggle to secure funding in these regions.
Tackling venture capital challenges in emerging markets
The launch of this fund comes as many emerging market venture investors face challenges such as sluggish exits, fewer follow-on funding rounds, and a constrained global capital environment. Despite these headwinds, Endeavor Catalyst remains confident in its model, which combines founder quality, global mentorship, and local market insights to help startups scale successfully.
Since its inception in 2012, Endeavor Catalyst has invested in over 360 companies across 34 countries, backing 63 unicorns and facilitating 30 successful exits. Notable companies in its portfolio include Flutterwave (Nigeria), Rappi (Colombia), Tabby (UAE), Insider (Turkey), and Carro (Indonesia). This track record highlights the fund’s ability to identify and nurture startups with high growth potential in diverse emerging markets.
By focusing on founders already vetted by Endeavor Global and investing alongside other institutional VCs, Endeavor Catalyst aims to provide flexible capital and strategic support to promising startups that mainstream investors might otherwise overlook. This strategy is designed to help startups push through the current venture capital slowdown and continue their growth trajectory.