4 Corporations with Venture Capital Initiatives in Latin America

Latin America has seen a surge in the startup ecosystem in recent years, driven by a combination of technological innovation and growing interest in venture capital investment. In this context, large corporations have taken an active role by developing Venture Capital (VC) arms to foster entrepreneurship and innovation in the region.

These initiatives not only provide financing but also offer strategic support and access to global networks. Here, we present four prominent Latin American companies with noteworthy Venture Capital initiatives.

Grupo Kaufmann: Güil and its Focus on Mobility

Grupo Kaufmann has been at the forefront of innovation in mobility through its Venture Builder and Corporate Venture Capital, Güil. Founded in 2019, Güil is dedicated to creating and investing in mobility startups with a focus on disruptive solutions that generate social, environmental, and economic impact. Among the notable startups created by Güil are 2bak (reverse logistics for retail), Circular (circular economy logistics applied to packaging), +Bus (planning for regional public transport buses), and EVSY (electric vehicle charging for commercial fleets).

Güil’s creation methodology is based on design thinking and deep research in the global mobility space, allowing for the development of innovative solutions and the sustained growth of its portfolio.

Wayra: Bridging Startups and Telefónica Movistar

Wayra, the Corporate Venture Capital of Telefónica Movistar, acts as an Open Innovation platform connecting startups with the corporation. With presence in seven hubs across Europe and Latin America, Wayra has invested over €233 million in more than 1,100 startups since its inception.

In Latin America, Wayra operates in countries such as Argentina, Chile, Colombia, Mexico, and Peru, helping startups scale globally and bring innovation to Telefónica Movistar.

Wayra not only invests in startups but also provides innovation services to third parties, supporting them in taking their initiatives to the next level. Through its network of over 140 partners and clients, and two innovation platforms (Alaian and Open Future), it plays a crucial role in the digital entrepreneurial ecosystem, offering funding and access to strategic markets and resources.

CMI Ventures: Innovation and Sustainability from Central America

From Central America, CMI, Corporación Multi Inversiones (CMI), has launched CMI Ventures, its Corporate Venture Capital unit, to drive innovation and sustainable development in the region. Under the direction of Francesco Marzano, CMI Ventures focuses on investing in critical sectors such as renewable energy generation, storage and distribution, food technology, next-generation logistics, and operations digitalization.

CMI Ventures not only seeks financial returns but also aims to generate a positive and significant impact on the communities and sectors where it operates. Luis Pedro Recinos Villa, Corporate General Director of CMI, highlights that the mission of CMI Ventures is to transform the world through partnerships with disruptive innovators and world-class entrepreneurs.

This initiative manifests CMI's commitment to sustainable development and innovation, pillars strengthened by the leadership of Juan Luis Bosch Gutiérrez, President Chairman of CMI Capital, and Juan José Gutiérrez Mayorga, President Chairman of CMI Foods, setting a model for other corporations in the region.

Mercado Libre: Democratizing Commerce and Financial Services

Mercado Libre, through its Corporate Venture Capital Fund, invests in tech companies that democratize commerce and financial services in Latin America. Focusing on Series A and B investment rounds, Mercado Libre not only provides funding but also access to its vast ecosystem of products, solutions, expert teams, distribution channels, and the potential to become strategic customers.

The Mercado Libre ecosystem comprises two major business units: Mercado Libre and Mercado Pago, covering e-commerce and fintech. Since its inception, the fund has invested in 27 companies with a total valuation exceeding $9 billion. Its portfolio includes startups like 123Seguro, Cilia, Digital House, Elenas, and Trocafone, among others, all focused on enhancing user experience and fostering entrepreneurship and social mobility in the region.

Corporate Venture Capital initiatives in Latin America are playing a fundamental role in developing the entrepreneurial ecosystem. Companies like Grupo Kaufmann, Telefónica Movistar, CMI, and Mercado Libre are leading the way, offering not only financing but also strategic support and access to global networks. As these corporations continue to invest in and support startups, the entrepreneurial landscape in Latin America is projected to show excellent growth and innovation indicators.