• UAE-based Khosouf Studio raised USD 600K in seed funding led by Saudi investment firm Merak Capital through its dedicated gaming fund.
• The investment will back Khosouf’s growth as it relocates operations to Saudi Arabia and scales its original, narrative-driven gaming intellectual property.
• Founded in 2020, Khosouf develops premium PC, console, and VR games, alongside interactive VR solutions spanning entertainment, education, and simulation.

Khosouf Studio

UAE-based independent game developer Khosouf Studio raised USD 600 thousand (SAR 2.2M) in a seed funding round. The round was led by Merak Capital, a Saudi-based investment firm, specifically, the investment was made through their gaming fund.

“Khosouf Studio represents the type of globally minded gaming developer we seek to support through Merak Capital’s Gaming Fund. By supporting teams like Khosouf, we aim to accelerate the development of globally competitive gaming intellectual property while contributing to the growth of the Kingdom’s gaming ecosystem,” said Abdulelah Alshareef, Principal of Venture Capital at Merak Capital.

The investment will support Khosouf Studio’s growth and expansion as it relocates its operations to Saudi Arabia.

Gaming

Launched in 2024, Merak Capital’s USD 81.9 million (SAR 306M) gaming fund and gaming accelerator seek to back high-potential gaming studios. It focuses on gaming studios building and scaling original intellectual property while building long-term value within Saudi Arabia.

The fund is in partnership with the National Development Fund and aims to empower the next generation of gaming startups. To do so, it supports early-stage studios that contribute to the development of a globally competitive gaming ecosystem in Saudi Arabia.

Founded in 2020, Khosouf Studio is a UAE-based independent game developer. It develops and publishes premium, narrative-driven titles for PC, console, and VR platforms. It also delivers gaming and non-gaming VR services, including interactive experiences, simulations, and educational solutions for clients.

This investment aims to contribute to the Kingdom’s gaming ecosystem. It also seeks to align with Saudi’s objective to become a hub for interactive entertainment and game development in line with Vision 2030.