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Tanmiya Capital Fund II, an Egyptian private equity fund, has closed at $130 million, surpassing its $120 million target. The European Investment Bank (EIB), through its development arm EIB Global, committed $37.5 million to the fund.
The investment was announced at a ceremony in Cairo on 26 October, attended by EIB Vice-President Gelsomina Vigliotti and Tanmiya Capital Ventures Managing Partners Ahmed El Guindy, Youssef Ahmed Ayoub and Mohamed Mohsen Mahgoub.
Other backers include the Egyptian-American Enterprise Fund (EAEF), the European Bank for Reconstruction and Development (EBRD), the International Finance Corporation (IFC) and Egypt’s Micro, Small and Medium Enterprise Development Agency (MSMEDA).
“The successful closing of Tanmiya Capital Fund II above its target reflects strong investor confidence in our strategy and in the potential of Egypt’s private sector. The EIB’s commitment brings not only capital, but also valuable international expertise and a shared focus on sustainable growth, strong governance and long-term value creation,” said Ahmed El Guindy, Managing Partner at Tanmiya Capital.
Founded in 2016, Tanmiya Capital Ventures is an Egypt-based private equity firm that invests in mid-market companies. It provides growth equity and works with portfolio companies on expansion, corporate governance and operations. Tanmiya Capital, an independent Egyptian investment firm, manages the new fund.
The fund will invest in established, high-growth companies in healthcare, training, FinTech, consumer goods, logistics and transport. At its target size, it is expected to hold six to eight companies and support thousands of jobs across Egypt.
At least 30% of portfolio companies are expected to meet one or more of the EIB’s criteria for financing that supports gender equality.
The EIB will also join the fund’s advisory committee, where it will share its experience on environmental, social and governance standards and private equity practice.
The deal follows a Team Europe approach and supports the EU-Africa Global Gateway Investment Package. Last month, EIB Global backed Centenary Bank in Malawi with $8.5 million in financing to strengthen lending to smallholder farmers and small agri-food businesses.
In June, EIB Global also backed Nigeria’s DBN with a $229.2 million loan to back SMEs in agriculture, renewable energy and digital innovation.
“Egypt’s private sector has enormous potential to drive sustainable growth, create quality jobs and deepen economic ties with Europe. Our investment in Tanmiya Capital Fund II will provide ambitious local companies with the growth capital and expertise they need to expand. It also reflects the European Union’s commitment, through Global Gateway and the new Agenda for the Mediterranean, to supporting a more competitive, inclusive and resilient Egyptian economy,” said Gelsomina Vigliotti, Vice-President at the EIB.
The European Investment Bank (EIB) Group is the EU’s financing organisation, owned by the 27 Member States, and is one of the largest development banks globally.
In 2025, it provided $111 billion for over 870 projects in areas like climate action, digital innovation, security, and agriculture.
The EIB also supports private investment for high-risk projects and businesses, playing an increasing role in venture capital and other financial markets.
“Our investment in Tanmiya Capital Fund II reinforces MSMEDA’s Fund of Funds program mandate, through which we partner with experienced private equity and venture capital managers and support emerging ones to crowd in private and international capital into promising Egyptian companies,” said Mostafa Ismail Hassan, CEO of MSMEDA.
The Micro, Small and Medium Enterprise Development Agency (MSMEDA) is the main government body in Egypt that helps develop small businesses and entrepreneurship. It focuses on boosting the private sector, creating jobs (especially for young people), and helping businesses become official.
MSMEDA offers both financial and support services throughout a business’s life cycle, working directly and with a network of financial partners across the country.
