Saudi Arabia, Merak Capital launch $80 million fashion fund

Riyadh-based Merak Capital has set up an $80 million private equity fund to support the fashion industry in Saudi Arabia, anchored by the kingdom’s Cultural Development Fund.

The Fashion Fund will invest across the industry, supporting Saudi labels, as well as beauty brands, e-commerce and technology companies working with apparel.

Saudi Arabia hosted its first ever fashion shows in 2018 and has since established Riyadh Fashion Week and Red Sea Fashion Week.

The sector is poised for significant growth, with fashion and luxury expected to hit $42 billion by 2028, according to industry tracker Fashion Futures.