Riyadh, Saudi Arabia – Under the patronage of His Highness Prince Badr bin Abdullah bin Farhan Al Saud, Minister of Culture and Chairman of the Cultural Development Fund, and within the framework of the Cultural Investment Conference organized by the Ministry of Culture at the King Fahd Cultural Center in Riyadh — held under the patronage of His Royal Highness Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince and Prime Minister — the Cultural Development Fund signed an agreement with Merak Capital to establish the Kingdom’s first private equity fund dedicated to the fashion sector, with a total value of SAR 300 million (USD 80 million).
The new private equity fund will be managed by Merak Capital, with the Cultural Development Fund serving as an anchor investor. The fund will invest across the fashion value chain, from apparel and accessories to supply chain enablers, e-commerce, and beauty. Its focus will be on growth-stage companies and Saudi brands with proven traction and ambitious expansion plans, as well as innovative projects that harness technology and new business models to drive competitiveness.
Majed Abdulmohsen Alhugail, CEO of the Cultural Development Fund, added: “The establishment of the Fashion Fund marks a pivotal step toward building a sustainable and competitive Saudi fashion industry in this dynamic sector. Through our strategic partnerships with the private sector, we are laying the foundations for growth, innovation, and global market access, while empowering enterprises and fashion entrepreneurs to maximize their economic and social impact. This fund extends the Cultural Development Fund’s approach to advancing the creative industries and solidifying their role as key drivers of employment, investment, and the national economy, in alignment with the objectives of Vision 2030.”
The establishment of this fund underscores the Cultural Development Fund’s role as a center of excellence and financial enabler for the cultural sector, introducing innovative financing and enablement solutions that amplify the sector’s economic and social impact, in alignment with the National Culture Strategy and Saudi Vision 2030.
Abdullah Altamami, Founder &CEO of Merak Capital, commented: “The establishment of the first private equity fund in the fashion sector marks a pivotal milestone in advancing the Kingdom’s creative industries and positioning Saudi Arabia as a hub for talent and innovation. Our partnership with the Cultural Development Fund reflects Merak Capital’s commitment to supporting national projects and enabling Saudi brands to expand regionally and globally, in line with the ambitions of Vision 2030.”
He added: “We are confident that this fund will be a powerful enabler for Saudi talent and a platform for showcasing cultural identity. Its impact will extend across the ecosystem — from beauty and e-commerce to innovative design — opening new opportunities for entrepreneurs and reinforcing the Kingdom’s position as a global center for creative industries.”
This step reflects Merak Capital’s commitment to supporting strategic sectors of national importance, in alignment with the National Culture Strategy and Saudi Vision 2030, by promoting innovation and opening new horizons for Saudi talent and businesses to compete on the global stage.
The announcement of the Private Equity Fashion Fund came as part of the Cultural Investment Conference organized by the Ministry of Culture as the first international conference of its kind to highlight culture as both an economic driver and an attractive investment sector. The conference aims to support the growth of cultural industries and expand their investment opportunities, thereby contributing to the objectives of the National Culture Strategy under Vision 2030.
About Merak Capital
Merak Capital is an investment firm focused on technology opportunities across multiple stages and industries. Merak is built on deep technological research and understanding, staying at the forefront of digital trends, and finding investment opportunities aligned with adoption cycles from different sectors, locally, regionally, and globally. The firm aims to partner with the builders of tomorrow in leading technological transformations, unlocking new markets and opportunities for growth, where innovation, fueled by the entrepreneurial spirit, shapes our future.