- EDAFA plans to deploy USD 10M in Egypt in 2026, increasing its allocation as competition for quality startups intensifies.
- The firm has invested USD 8M across 20+ Egyptian startups in 18 months, from Pre-Seed to Series A.
- With 61 portfolio companies regionally, EDAFA blends capital with hands-on support and KPI-linked funding tranches.
EDAFA
Saudi-Egyptian venture capital firm EDAFA is targeting USD 10 million in Egyptian startups in 2026. That represents more than 25% growth compared to last year’s deployment, according to CEO Essam Aly Mostafa.
In an interview with Daily News Egypt, CEO of EDAFA Essam Aly Mostafa notes that over the past 18 months, EDAFA invested roughly USD 8 million locally. The capital backed more than 20 startups across stages from Pre-Seed to Series A.
The firm originally aimed to deploy USD 13 million during that period. Instead, it opted for a more disciplined pace. Furthermore, its priority was startups in alignment with both its financial benchmarks and long-term strategy.
Entrepreneurship
Egypt remains central to the firm’s thesis. The CEO points to the country’s strong entrepreneurial talent base and large consumer base.
EDAFA was built as a cross-border platform rather than a traditional VC fund. It combines equity investment with operational involvement. The firm currently holds stakes in 61 companies across Saudi Arabia, the UAE, Jordan, Kuwait, and Egypt. It typically acquires between 5% and 45% ownership. That range allows it to maintain meaningful participation while ensuring founders retain long term incentives.
The firm does not deploy capital all at once, instead it uses a KPI-driven structure. It releases funding in tranches tied to measurable milestones. This model aims to balance risk control with growth acceleration.
One recent bet is Shares, an Egyptian startup founded in 2025. The platform enables fractional real estate ownership, with entry tickets starting at SAR 500. The company is preparing to expand into Saudi Arabia, pending approvals from the Financial Regulatory Authority and the Capital Market Authority.
Beyond Egypt, EDAFA is eyeing further geographic expansion. Oman, Bahrain, Switzerland, Kenya, and the UAE are on its roadmap.
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