Investors in the UK are now looking outside of the United Kingdom to invest cash in businesses. The Middle East and North Africa have both been cited as a particular hotspot for Angel Investors to cast their eye upon.
There is a current upsurge, though, it has been widely known for many years that Investors have been investing in businesses abroad and to a fair degree of quiet success. It is only now as the economy begins to turn for the better worldwide that Angel Investors are turning their heads internationally in numbers.
The Wall Street Journal for example cites South African-based media company Naspers. The company has invested in Amazon-style e-commerce website Souq.com as well as classifieds website Dubizzle.com. The investment was reported to be in the region of $ 40 million in Souq.com.
Speaking to The Wall Street Journal; "In places like India, you have 10 investors competitive for the same deal," said Paul Kenny, the chief executive of Cobone.com, who recently set up a VC fund with support from international Angel Investors. "Here in the Middle East, it's still a green field."
Rocket Internet, based in Germany is a start-up incubator for more than 50 companies worldwide. The company also helped local online fashion shopping website Namshi to raise £ 20 million from JP Morgan and Blakeney Management as well as and $ 13 million from Boston-based Summit Partners.
"On the one hand, the supply is under represented and the on the other, the demand is huge," said Eyad Elkasser, managing director for the Middle East and North Africa at Rocket.
Habib Haddad, chief executive at news website Wamda said investors are more willing to buy into companies based in the Middle East as they can partner with "angel investors locally".
The development of Angel Investors investing in businesses abroad show that since the economy turning in the UK and the USA, the Middle-East, Africa and Asia are moreought after locations in which investors target for investment. Despite the issues in the three continental areas, two of those can boast two of the largest populations in the world (India and China), and both can boast top being central to economic commerce in both areas.
Angel Investors are becoming more aware of opportunity and are not afraid of investing outside of the UK shores. Angel Investment opportunities are becoming much more frequent, popular and are now becoming accessible abroad also. The ways in which the economy is moving means that angel investors and the whole angel investment sector in business is gathering momentum at a steady pace which means only good things for the economy.