NEOM Launches Investment Arm to Foster Innovation and Economic Growth
NEOM, Saudi Arabia, 24 October 2023 – NEOM has taken a significant step by unveiling the NEOM Investment Fund (NIF), its strategic investment subsidiary, aimed at supporting the development of NEOM's 14 key sectors and generating long-term value while boosting job creation within the NEOM region.
NIF's investment strategy encompasses a global approach, involving mergers and acquisitions, venture capital for technology startups, and a strong emphasis on backing pioneering growth firms and emerging industries. The fund also plans to establish joint ventures and partnerships with multinational corporations, institutional investors, and innovators operating within NEOM.
To mark its inauguration, NIF has disclosed new investments in companies like Pony.AI, Regent, Boom Technology, BlueNalu, and Animoca Brands, with more details set to be revealed shortly. These investments, in addition to previous ones, exemplify NIF's role in collaborating with NEOM's sectors to support their growth strategies, foster new technologies, establish businesses, and cultivate a thriving economy within NEOM.
Nadhmi Al-Nasr, CEO of NEOM, emphasized that NIF plays a crucial role in bringing NEOM's ambitious vision to life, contributing to the Kingdom's long-term goals of economic diversification and job creation.
Majid Mufti, CEO of NEOM Investment Fund, highlighted the fund's strategy designed to align NEOM's development objectives with those of innovators and institutional investors. NIF aims to de-risk opportunities for these entities to engage in creating globally significant growth businesses and a prosperous economy in NEOM. The fund's investments thus far in technology companies across NEOM's 14 priority sectors will accelerate critical technologies vital to the NEOM project's future sustainability and quality of life.
As a catalyst for change, NIF actively seeks partnerships with investors and entrepreneurs addressing complex global challenges, aligning with NEOM's vision. The fund aims to nurture regional and global champion companies across NEOM's 14 economic sectors, investing in viable projects and groundbreaking ideas enabled by cutting-edge technologies. NIF intends to create investment opportunities for the private sector to partake in, facilitate the development and scaling of solutions within NEOM, and eventually export them to the world.
Furthermore, NIF will assume the role of portfolio manager for NEOM's sector assets and companies. This role is expected to ensure returns for shareholders and investors through portfolio synergies, underpinning NEOM's long-term financial sustainability.