Sarmayacar, Pakistan’s first institutional venture capital firm, is expanding into Saudi Arabia. The firm aims to leverage the Saudi market opportunity. Moreover, it comes after investing in 24 companies, reviewing over 2,000 deals, and completing successful exits to Middle Eastern buyers.
Rabeel Warraich, founder and CEO of Sarmayacar, said Pakistan validated the firm’s ability to create real companies with measurable returns. Meanwhile, Saudi Arabia, driven by Vision 2030, attracts capital, talent, and regulation. Consequently, it has become the region’s new technology hub.
“This expansion is not a pivot but a response to market gravity,” Warraich said. Therefore, formalising this corridor is now the logical next step.
Startups such as ABHI have already scaled in Saudi Arabia. They show that the Saudi market opportunity is significant for founders seeking large business growth. In addition, Warraich added, “Our expansion formalises a corridor our best startups already use.”
Bilateral ties between Pakistan and Saudi Arabia have also evolved. For example, the 2025 Economic Cooperation Framework aims to boost trade, investment, and development. Thus, Sarmayacar will act as a bridge, helping Pakistani startups localise, meet regulations, and sell in Saudi Arabia.
“Beyond capital, we handle the permissions and relationships that matter in the Kingdom,” Warraich said. On the other side, the firm supports Saudi startups by using Pakistan as a cost-efficient testing ground. In this way, companies can iterate fast, hire talent, and test economics before deploying larger capital.
Warraich explained Saudi firms become regionally competitive when they combine Pakistan’s efficiency with Saudi Arabia’s value capture. Therefore, “This corridor is how regional champions are built,” he said.
Sarmayacar has experience navigating both ecosystems. For instance, it exited a Pakistani logistics player to a Middle Eastern buyer and helped ABHI scale across the GCC. Furthermore, the firm is building a local presence in Saudi Arabia. It is also partnering with leading Saudi GPs to leverage shared strengths.
Warraich clarified Pakistan’s macroeconomic turbulence or the global VC slowdown are not driving this move. Instead, value exists where purchasing power and pro-tech policy momentum are strong. In fact, “Connecting these two markets is not a hedge,” he said. “It is the logical way to unlock more value for founders.”
By expanding into Saudi Arabia, Sarmayacar positions itself at the heart of the Saudi market opportunity. Consequently, the firm helps startups scale efficiently and achieve regional success. It also demonstrates the growing integration of Pakistani innovation with Saudi growth potential.
