Zain Group invests in third venture capital fund in rapid succession

Zain Group announced its third foray in the field of venture capital investment through a strategic participation in Luxembourg-based Digital East Fund that is managed by venture capital specialist Earlybird.  The fund has raised US$150 million since its inception in 2013 and invests in early-stage and growth-stage digital companies in Central and Eastern Europe, as well as in Turkey. Investors in this particular fund include the World Bank’s International Finance Corporation (IFC), and the European Research and Development Bank (EBRD), as well as a number of prominent family offices and entrepreneurs from the region.

Earlybird was founded in 1997 and has raised in excess of US$800 million to date spread over four funds that have invested in over 100 small to medium early-stage technology based entities across Europe and the Middle East.  The firm has offices and presence across the globe including in Luxembourg, Berlin, Munich, Istanbul, London, and Silicon Valley.

The four venture capital funds that Earlybird currently manages have all had a successful and proven investment approach in a variety of sectors including consumer Internet, enterprise software and services, as well as in medical technology. Impressively, the Earlybird management team’s track record of profitable exits includes 20 initial public offerings and trade sales since 2004.

The investment in the Digital East Fund is the third venture capital announcement in recent months by Zain, further building on the establishment of the Zain Digital Frontier and Innovation (ZDFI) business unit in 2014, which is charged with launching Zain into the digital space with the view to growing the company through the development of new innovative business streams that add to the company’s valuation and customer service offerings.  ZDFI focuses on the areas of innovation; digital services; corporate venturing; and smart cities.