On Monday, Yolo Investments announced that it had received authorisation from the Financial Services Regulatory Authority of the Abu Dhabi Global Market to manage its third private investment fund, known as Fund III.
The fund aims to raise $250 million, targeting primarily Series A to C financing rounds. It will have a global investment mandate but a strategic focus on the Middle East and North Africa region.
Established as a venture capital investor primarily targeting the fintech, crypto and gaming verticals, Yolo Investments is advancing its growth through Fund III, its third flagship fund. Yolo Group recently made headlines by shifting away from unregulated crypto to regulated igaming markets.
“This isn’t about walking away from the past,” Yolo said in a statement at the time of the shift.
“It’s about taking everything we’ve learned, everything we’ve pioneered, and applying it in environments where operators, regulators and players can work together, creating a stronger and more sustainable ecosystem for everyone.”
Regulatory approval enhances institutional appeal
According to the group, Yolo Investments’ decision to domicile Fund III within Abu Dhabi and to adhere to FSRA regulations was deliberate. They say it responds to institutional investors’ preference for established legal frameworks rooted in English common law.
The emirate is recognised as a financial free zone favoured by asset managers who seek access to Gulf capital.
The regulatory movement enables Yolo to finalise critical offering documents. This includes the limited partnership agreement and private placement memorandum. It can begin capital deployment following the first close.
Fund III will continue Yolo’s focus on companies operating at the intersection of fintech, crypto and gaming industries. The firm frames its investment thesis as “backing entrepreneurs who move money”.
This approach builds on Yolo’s previous success with Fund II which, as of 31 December 2025, had achieved a net internal rate of return of 51.6% and a total value-to-paid-in multiple of 1.36x.
The UAE landscape
The launch comes amid a broader strategic expansion by the wider Yolo Group in the United Arab Emirates. Late last year, Yolo Group secured two gaming-related vendor licences from the UAE’s General Commercial Gaming Regulatory Authority. The licences permit Yolo to supply iGaming content to the regulated market in the UAE.
Yolo Founder Tim Heath emphasised that “obtaining these licences in the UAE is more than a regulatory achievement.”
He added that “it is a statement of intent. Yolo Group is committed to building the future of gaming on trust, transparency and world-class innovation.”
Details concerning Yolo Group’s leadership, individual LP commitments, portfolio size or target number of investments were not disclosed.
Kathryn Evans
Kathryn covers bitesize breaking news with a primary focus on EMEA and US legislation. A proud North Walian, fluent Welsh speaker and lifelong Wrexham FC fan – long before Hollywood came calling.
Original article: https://igamingbusiness.com/finance/yolo-investments-secures-regulatory-approval-abu-dhabi-fund/
