(Dec 24): Saudi Arabian venture capital firms expect more mergers and acquisitions (M&As) in the startup space, as stock market weakness and higher valuation scrutiny make initial public offerings (IPOs) less appealing. Investors want exposure to fast-growing companies, but without the volatility that comes with public markets, said Abdullah Altamami, founder and chief executive officer of Merak Capital. Venture firms have backed companies across sectors including gaming, fintech, cybersecurity, tourism and fashion. The Saudi benchmark index is among the worst performers in emerging markets, and while IPO proceeds have held steady at around US$4 billion, several recent listings have struggled. Meanwhile, the Middle East became the leading M&A destination across emerging venture markets in the first nine months of the year, with 26 deals, according to data platform Magnitt.

Source: The Edge Markets December 24, 2025 10:02 UTC