The Ministry of SMEs and Startups (MSS) hosted a launching ceremony in Riyadh, Saudi Arabia, on October 23 for startups seeking to enter the Saudi Arabian market.
The purpose of the event was to strengthen cooperation between Korea and Saudi Arabia in the startup sector. This was in line with the visit of the Korean business delegation to the Middle East. The event included the opening ceremony of Riyadh Global Business Center (GBC), a seminar focused on Korean-Saudi startups, and investment relations pitching following the Korea-Saudi joint fund launch.
In particular, the Ministry of Investment of Saudi Arabia (MISA) and the General Authority for Small and Medium Enterprises (Monsha'at) encouraged the Korean startups in attendance. With great interest from the local Saudi government, the event was a success.
[Opening ceremony of the Global Business Center (GBC) in Riyadh] (10:00-11:00)
The opening of the Riyadh Global Business Center (GBC) took place on October 23 at 10:00 AM at the Riyadh Front, where the GBC is situated. H.E. Ibrahim AlMubarak, Vice Minister of the Saudi Ministry of Investment (MISA), was present at the opening ceremony. Moreover, out of the 26 companies that are planning to move in, 15 attended the opening ceremony. The GBC was established after Minister Lee Young of SMEs and Startups met with Saudi Investment Minister Khalid Al-Falih during her visit to Saudi Arabia in March 2023.
MSS and the Saudi Ministry of Investment will jointly operate the Riyadh GBC. The purpose of the GBC is to provide Korean SMEs and startups with a base to enter the Saudi Arabian market. MSS will offer office spaces and consulting services to assist with setting up in Saudi Arabia. MISA will issue Entrepreneur Licenses to GBC tenants. Currently, twelve companies that applied for residency in the Riyadh GBC are in the process of being issued Entrepreneur Licenses.
* A new investment license introduced by MISA to attract overseas innovative companies to the country, reducing the annual maintenance fee of KRW 20 million to approximately KRW 4.3 million.
[Launching ceremony for startups seeking to enter the Saudi Arabian market and Startup Seminar] (13:00-16:00)
At 1:00 PM, a launching ceremony took place with the attendance of Saudi government officials, including those from Monsha'at, 33 Korean companies interested in entering the Saudi Arabian market, and local Saudi companies. During the event, four MOUs were signed between Korean and Saudi companies.
The MOUs were suggested through the Global Expansion Program of the Youth Entrepreneurship Academy. As part of the program, participating companies conducted market research, attended mentoring sessions by local venture capitalists (VCs), and participated in demonstrations during their visit to Saudi Arabia from October 17 to 24.
Tween Nano (CEO NA Jae-hoon) signed an MOU with a Saudi Arabian company to establish a joint venture (JV) focused on developing and manufacturing smart farming technologies.
Following the launching ceremony, a South Korea - Saudi Arabia startup seminar was held. Attendees of the event included companies that had signed the MOU, as well as tenants of the Riyadh Global Business Center. The seminar involved discussing potential ways to foster future cooperation between the two countries.
[ IR pitching event following the Korea-Saudi joint fund launch] (16:00-19:00)
As a follow-up to the Korea-Saudi joint fund established during the visit of Minister Lee Young of SMEs and Startups to Saudi Arabia in June 2023, twelve Korean startups made a presentation and an IR pitch.
Thirty local investors and investment organizations, including PIF Jada, Saudi Arabia, Saudi Venture Capital (SVC), and Aramco Ventures, attended the IR pitching event. Additionally, six Korean investors participated in the event to discuss venture capital investment opportunities and exchange ideas between the two countries.
One Korean company secured a $2 million investment through the IR pitch and is now in talks with local VCs for follow-up investment.
LIM Jung-wook, Deputy Minister of Startup and Venture Innovation, stated, "Saudi Arabia is promoting the Saudi Vision 2030 project to prepare for the post-oil era. This presents an opportunity for Korean startups with advanced technology." He added, "Over today's event, MSS will play an active role in assisting outstanding Korean startups to grow as they enter the Saudi Arabian market."