Flat6Labs announces its US$13.18m second close to support early-stage startups

EGYPT Flat6Labs, a regional Seed Programme and Fund, has announced the second close and increase of its Egypt fund from EGP50 million (US$3.18m) to EGP207 million (US$13.18m), to support Egyptian early-stage startups.

Flat6Labs has also announced that it is raising its cash seed offering for its Cairo Seed Programme to up to EGP1.5 million (US$95,510), and up to EGP3 million (US$0.19m) in post-programme follow-on funding for selected startups.

The FAC fund’s existing Anchor Investors include the International Finance Corporation, the MSME Development Agency, the Egyptian American Enterprise Fund, and Egypt Ventures, who have all increased their commitments in the FAC fund to support more early-stage technology startups in Egypt.

Sawari Ventures, the latest significant investor in the FAC fund, has also participated in the second close of the fund.

Flat6Labs Egypt plays an integral role at the seed stage within the local and regional ecosystems; successfully providing the foundational support startups need through funding and mentorship, which is appealing for us,” Wael Amin, Managing Partner at Sawari Ventures, said.

“I am truly looking forward to continuing on the success of our fund in leading the digital economy transformation in Egypt.”

Marie-Therese Fam – Managing Partner, Flat6Labs Egypt

“At Sawari Ventures, our fund strategy has always been to allocate a percentage of our fund to the seed stage which is a completely different proposition in terms of process, culture, and support needed.

“As investors in Flat6Labs Accelerator Company, we get the opportunity to profitably participate in Egyptian companies at a very early stage, get early indicators on ecosystem trends, and visibility into the ecosystem.”

The Flat6Labs Accelerator Company (FAC) Egypt fund was launched in 2017 to invest in 100+ innovative startups across Egypt over the span of five years, with a focus on tech-enabled solutions.

“I am extremely proud of our fund’s second close and the incredible support we have received from all our Anchor Investors,” Marie-Therese Fam, Managing Partner at Flat6Labs Egypt, said.

“I am truly looking forward to continuing on the success of our fund in leading the digital economy transformation in Egypt and building on the achievements we have made so far including the growing number of supported startups.”

Over the past three and half years of the investment period, the Flat6Labs Cairo Seed Programme has run seven cycles, invested in 62 startups, trained over 350 founders, and created over 1000 jobs – 96% of which are youth between the ages of 19-35.

Around half of Flat6Labs’ portfolio companies in Egypt have received follow-on funding with a total of EGP145 million (US$9.23m).

Flat6Labs is participating in the development of the startup ecosystem in Egypt. We are proud to support them in helping our community embrace the digital economy,” added Ahmed Gomaa, CEO of Egypt Ventures.

Highlighting Flat6Labs’ role in nurturing a promising startup ecosystem and closing the financing gap for entrepreneurs in Egypt, James Harmon, Chairman of the EAEF, said that they believed that startup accelerators are instrumental to building a robust entrepreneurial ecosystem,

“We are proud of Flat6Labs’ efforts and role in building the startup ecosystem in Egypt and will continue to support them as they fill an important financing gap in the market,” he added.

Flat6Labs Egypt will continue to support bright, passionate, and tech-driven entrepreneurs in Egypt, by providing funding, technical assistance, and networking opportunities across the country and beyond.

Flat6Labs Egypt thus continues to be a pillar of the digital transformation of the Egyptian economy building successful, job-creating startups contributing to the overall economic growth in Egypt.

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.