Latin America’s tech and venture scene have been expanding rapidly in recent years. Start-ups in the region are receiving support from a more significant number of international investors, and specific industries, like fintech, are exploding. Companies are just some of the ones receiving funding from global investors. They also put money into funds.
The first close of the Volpe Capital fund, which focuses on high-growth technology investments in Latin America, was made public today.
The Volpe Capital Raises new fund, which is aiming for commitments totaling 100m and has a hard cap of 150 million, has notable anchor investors in the form of affiliates of the Japanese investment conglomerate SoftBank, BTG, and Banco Inter. Volpe’s management team also made a significant anchor investment.
Volpe Capital Recent Funding
According to what Eduardo Carone told LABS in September, the SaaS Company Atlas Governance, based in Brazil and a governance start-up, was born in 2018 after its founder felt the effects of bad corporate practices.
Atlas recently raised 5 million in a Series A round led by Volpe Capital, with the operation now consolidated and serving more than 300 organizations in Brazil, Mexico, Colombia, Peru, Chile, and Argentina. Even though we got a proposal from five investment funds, we decided to put our money on Volpe’s model, which is slightly different from what market companies use.
According to Atlas CEO Carone, they want to invest less in these companies and get more involved. Volpe Capital is a brand-new fund founded by André Maciel, the former managing partner of SoftBank in Brazil. It has raised 100 million and plans to invest in up to 20 companies. Most of the funds will be used to strengthen the expansion in Latin America, with approximately 20% going to product development, such as software for assemblies, which will be released in 2022.
Volpe capital 80m series
According to Maciel, the fund’s raise was one of the best capital raises for a first-time fund in its asset class in Latin America because it was “significantly oversubscribed with firm commitments. According to Maciel, Volpe Capital intends to invest in approximately 15 businesses over two and a half years. Maciel anticipates that Volpe Capital’s average check will be approximately 5 billion. It has supported Uol Edtech, a Grupo Uol subsidiary whose mission is to reimagine the digital learning experience in Brazil.
According to Maciel, we are quick. We are pleased with our first deal and will consider capital preservation. We plan to take advantage of the cycle by being patient because we believe markets are currently hot as per softbankazevedotechcrunch.
Fund strategy of Volpe Capital
The asset’s technique is to pursue the organizations that are not effectively raising capital. Maciel says, “We want to invest in businesses that are not necessarily raising capital when we approach them.”The fund considers itself to be stage and primary versus secondary agnostic. It wants to invest in early-stage, low-valued, and some later-stage, high-growth businesses.
Maciel claims that Uol Edtech, the fund’s initial investment, falls into the latter category with EBITDA margins exceeding 30%. Even if they are tech-related, Volpe intends to steer clear of capital-intensive businesses.
We like industries that need to be customized locally and are prone to disruption in Latin America. It is preferable to be a generalist due to the VC/growth industry stage in Latin America. Marcelo Claure, CEO of SoftBank International, describes Maciel as one of his incredible founding partners for SoftBank in Latin America. In a written statement, he added, “We are very pleased to be one of Volpe’s anchor investors and look forward to continuing our relationship with them.
SoftBank has a connection to another anchor investor. Inter’s CEO, Joo Vitor Menin, notes that Maciel led an investment in Inter’s platform through SoftBank. Inter is a publicly traded fintech platform in Brazil with a market cap of more than 7 billion. Menin claims that he also made significant contributions as a board member.