PIF's Jada Anchors Growth Catalyst Fund I to Scale Saudi Mid-Market Companies

Bandr Alhomaly (CEO of Jada Fund of Funds) and Turki Al-Dayel (Founder & CEO of Growth Catalyst)

Jada Fund of Funds, a wholly owned subsidiary of Saudi Arabia's Public Investment Fund (PIF), has announced a strategic commitment to Growth Catalyst Fund I, a Saudi-based private equity fund licensed by the Capital Market Authority (CMA).

Growth Catalyst Fund I is targeting a SAR 750 million (approximately US$200 million) fund size and will invest in high-potential mid-market businesses across Saudi Arabia. Jada participated as an early institutional investor during the fund's first close, reinforcing its role in expanding the Kingdom's private capital ecosystem.

The investment aligns with Saudi Vision 2030, which prioritizes private sector growth, economic diversification, and the development of domestic investment managers capable of supporting the country's expanding entrepreneurial economy.

What Is Growth Catalyst Fund I?

Growth Catalyst Fund I is a sector-agnostic private equity fund designed to help established Saudi companies move beyond the startup stage and become regional market leaders.

Rather than investing in early-stage startups, the fund focuses on businesses with proven business models that require capital and strategic support to scale operations.

Its investment strategy includes:

• Supporting revenue expansion and regional growth
• Strengthening corporate governance
• Improving operational efficiency
• Preparing companies for mergers, acquisitions, or IPOs
• Creating sustainable long-term enterprise value

The strategy addresses an important funding gap between venture capital and public capital markets, where many fast-growing SMEs require larger investment rounds and operational expertise.

How Does This Investment Strengthen Saudi Arabia's Private Capital Market?

Jada was established by PIF to accelerate the development of Saudi Arabia's private capital ecosystem across:

Investment Segment	Role in the Ecosystem	Impact
Venture Capital	Supports early-stage startups	Innovation and entrepreneurship
Growth Equity	Helps scaling companies expand	Business transformation and regional growth
Private Equity	Funds mature businesses	Operational improvements and acquisitions
Private Debt	Provides alternative financing	Diversifies funding options for SMEs

Growth equity remains one of the fastest-growing segments globally because it helps companies bridge the financing gap between venture capital and IPO readiness.

By backing Growth Catalyst Fund I at its first close, Jada is also supporting the next generation of Saudi fund managers, increasing institutional participation in the Kingdom's private markets.

Why Does Growth Equity Matter for Saudi Vision 2030?

Saudi Arabia's economic transformation increasingly depends on the expansion of high-growth private companies capable of creating jobs, attracting investment, and building globally competitive industries.

Growth equity provides these companies with long-term capital while allowing founders to retain significant ownership compared with traditional buyout structures.

The investment also supports several Vision 2030 objectives, including:

• Expanding private sector participation in GDP
• Increasing institutional investment within Saudi Arabia
• Developing local asset management capabilities
• Supporting SME growth and competitiveness
• Deepening domestic capital markets

As Saudi Arabia continues attracting both domestic and international investors, demand for institutional growth capital is expected to increase across technology, healthcare, manufacturing, logistics, consumer sectors, and industrial services.

What Did Jada and Growth Catalyst Say About the Partnership?

Bandr Alhomaly, CEO and Managing Director of Jada, said growth equity represents a critical component of a mature private capital market because it enables established businesses to scale while supporting the development of new investment managers.

Turki Aldayel, Founder and CEO of Growth Catalyst, said Jada's commitment demonstrates institutional confidence in Saudi Arabia's underserved mid-market segment and will help accelerate the growth of high-potential Saudi businesses aligned with Vision 2030.

How Does This Investment Fit into Saudi Arabia's Broader Investment Landscape?

Saudi Arabia has rapidly expanded its alternative investment ecosystem over the past several years through initiatives led by PIF, the Capital Market Authority, Monsha'at, and investment platforms such as SVC (Saudi Venture Capital). Meanwhile, innovation hubs including NEOM, King Abdullah University of Science and Technology (KAUST), and The Garage continue to strengthen the pipeline of high-growth companies that may eventually require growth equity financing.

Although organizations such as Hub71 and ADGM in the UAE continue to attract regional startups and investors, Saudi Arabia is increasingly building a domestic investment ecosystem capable of financing companies throughout every stage of growth—from venture capital and growth equity to private equity and public markets.

Jada's investment in Growth Catalyst Fund I represents another milestone in building that full-spectrum financing environment, helping ensure promising Saudi companies can continue scaling without relying exclusively on overseas capital.

 

 

FAQs

1. What is Growth Catalyst Fund I?
Growth Catalyst Fund I is a Saudi Arabian private equity fund licensed by the Capital Market Authority with a target size of SAR 750 million (US$200 million). It invests in high-growth mid-market companies across multiple industries.

2. Who is Jada Fund of Funds?
Jada Fund of Funds is a wholly owned subsidiary of Saudi Arabia's Public Investment Fund (PIF). It invests in venture capital, private equity, and private debt funds to strengthen the Kingdom's private capital ecosystem.

3. Why is growth equity important for Saudi Arabia?
Growth equity helps established companies expand operations, improve governance, and prepare for acquisitions or IPOs. It fills the financing gap between venture capital and public markets while supporting Saudi Vision 2030.

4. How does this investment support Vision 2030?
The investment encourages SME growth, develops local fund managers, strengthens private capital markets, and supports economic diversification by increasing private sector participation in the Saudi economy.

5. What types of companies will Growth Catalyst Fund I invest in?
The fund targets established Saudi mid-market companies across multiple sectors that have demonstrated commercial success and are seeking capital and strategic support to scale domestically and internationally.