BY Venture Partners, headquartered in Dubai, revealed on 29 October the closure of its third fund at $60M. The Dubai Future District Fund (DFDF), a government-backed entity, anchors the vehicle alongside contributions from MultiLane, Transmed Capital and the Idriss Family Office based in Saudi Arabia. The firm now manages more than $200M in total assets when including co-investment structures.
Investment strategy and portfolio progress
Fund III will deploy individual cheques reaching up to $1M into AI-native enterprises, targeting the pre-seed through Series A phases. The firm focuses on companies rebuilding enterprise workflows with aspirations to scale internationally from inception. Fifteen investments have already been deployed from a target of 40 portfolio companies. Current holdings include PQShield, Cosyne, Isometric, Huspy and Invisible. Operations span more than 16 markets, with roughly two-thirds of capital directed toward North America and Europe rather than the Middle East and North Africa.
Founding partner Ghaith Yafi stated that the fund "will back AI-native companies with global ambitions", and signalled expanded European activity across Madrid, London, Paris and Berlin.
European expansion and the Lisbon headquarters
The firm's inaugural European office in Lisbon brings two investment professionals to the region. Partner Sohrab Jahanbani identified a persistent challenge: European founders frequently lack pathways to international capital and commercial expansion. BY intends to bridge this gap by offering direct connections to worldwide networks and an operator-focused team. Jahanbani's counterpart Abdallah Yafi characterised Lisbon and the broader Iberian region as emerging hubs for artificial intelligence and deep technology ventures. The company has signalled heightened engagement plans for Spain, the United Kingdom, France and Germany.
The Dubai government-backed anchor investor articulated clear expectations for the partnership. Nader Albastaki, managing director of DFDF, told Wamda that BY's approach functions bidirectionally—channelling global AI companies toward Dubai while facilitating regional founders' international expansion. Success will be measured by the volume and quality of this two-way flow.
Partner backgrounds and fund performance
All four partners bring entrepreneurial experience to their roles. Abdallah Yafi previously chaired Big Bus Tours' strategy committee and orchestrated its 2015 private equity exit; he holds an INSEAD MBA. Ghaith Yafi spent his career in investment banking and mergers and acquisitions at Houlihan Lokey, HSBC and Société Générale. Rami Jisr established Broadgate Advisers and formerly led Bank Audi's investment banking operations. Sohrab Jahanbani co-founded GoNabit, which the firm identifies as the first MENA e-commerce company to achieve an exit, when it sold to LivingSocial in 2011.
BY reports that Funds I and II generated four unicorns and delivered "meaningful capital" returns to limited partners, citing a Founder Net Promoter Score of 87. The announcement provides no specific names, return multiples or survey methodology. Publicly documented exits include Invisible Technologies, which raised $100M in September 2025 at a valuation exceeding $2B, and Onfido, acquired by Entrust in April 2024. Fund II closed at $50M in 2021.
Source: Startup Reporter
