Alpha Dhabi Holding to invest $2.5bn in ‘Alpha Wave Ventures II’ VC fund

Alpha Dhabi Holding (ADH) has committed to invest $2.5 billion in “Alpha Wave Ventures II”, a venture capital fund jointly managed by Chimera Capital and Alpha Wave Global, which was launched at the beginning of the year.

The total investment comprises a capital contribution of $708 million and an undrawn capital commitment of $1.8 billion, which will be drawn down over the fund’s investment period.

The venture capital fund, which has already begun making investments, has a global remit and will focus on multi-stage private firms, with an emphasis on growth-stage startup companies in a wide range of industries, including artificial intelligence (AI), financial technology, life sciences, consumer internet, and B2B.

The fund’s investment emphasis is in line with Alpha Dhabi’s growth strategy, which is focused, in part, on investment in disruptive technologies as part of the UAE’s ambition to create a diversified, tech-enabled and competitive economy that fosters a culture of innovation.

“Investment in innovation and technology remains a core tenet of our growth strategy at Alpha Dhabi. We continually look at investments in disruptive technologies to advance our group of operating subsidiaries, which include market leaders in their respective sectors. As a cornerstone and significant investor in this fund, we are able to firmly demonstrate this commitment to innovation, technology and growth-stage companies while also adding scale to our investment portfolio and delivering superior returns for our shareholders.”

“The commitment also enhances the scale and weight of our balanced portfolio by adding sector, geographic and company size diversification while providing Alpha Dhabi with considerable deal flow and access across key markets including the USA,” Mr. Al Ameri added.

The fund will invest in high-growth, tech-enabled and tech-driven enterprises that offer ground-breaking and inventive solutions to regional and global problems. It will strengthen Abu Dhabi’s position as a hub of innovation and technology, as well as its growing position as a premier investment destination for international, institutional, and growth capital, as a key and strategic contributor to the UAE’s economy and diversification efforts.

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