Dealmaking in Latin America did not slow down during the first quarter. Private capital funds deployed USD5.5b across 215 transactions in Q1 2022, representing an 88% increase in deal value when compared to USD2.9b in Q1 2021. Fund managers have deployed a quarterly average of USD4b over the last five years.
VC accounted for 50% of total investment in the region in Q1, followed by private credit (29%) and PE (17%). Notable deals included:
Delta Air Lines, Oaktree Capital Management, Silver Point Capital and The Baupost Group’s USD720m investment in AeroMexico
Hayfin Capital Management’s USD500m debt financing for Keo World
Advent International’s investments in Argentina-based payments company Prisma and Brazil-based construction company Grupo Tigre
Canton Fitzgerald, Liberty Strategic Capital and SoftBank’s USD262m PIPE investment in Satellogic
Exit totals in Q1 2022 reached USD3.9b across 20 transactions. Exit activity was driven by strategic acquisitions, with only two exits via public markets. Notable exits included the sale of Actis’ renewable energy platforms Echoenergia in Brazil and Aela Energia in Chile for a combined deal value of USD2.1b.
Notable fund closings included BlackRock Real Assets' Colombia Infrastructure Fund II (USD630m), Altum Capital USD Debt Fund II (USD125m), and H20 Capital’s Innovation Fund II (USD50m).
Later this month, LAVCA Members will receive exclusive access to underlying data: fundraising and disclosed fund closes; exit totals and highlighted exits; all disclosed investments, sortable by stage, sector and HQ; and sector breakouts with year-over-year growth.
Save the Date: Member Reception During LAVCA Week 2022
LAVCA is excited to convene in person after a two-year hiatus and kick off LAVCA Week with a dynamic reception for LAVCA Members and Limited Partners hosted by Advent International. The Member Reception will take place on Tuesday, October 11 at Tribeca 360° from 6:00 pm - 9:00 pm EDT.
LAVCA Week 2022 will take place in person on October 12-14 at the Conrad New York Downtown in New York City.
The 2022 conference will convene LAVCA’s unparalleled network of private capital investors from across Latin America, the US, Asia and other global markets for a highly interactive experience, including networking and discussions on the latest trends in private equity, venture capital and other private capital strategies.
Participation is open to LAVCA members, non-member private capital investors and qualified institutional investors.
Anatel, Brazil’s national telecommunications agency, authorized BTG Pactual’s acquisition of a controlling stake in Brazil-based fiber optic company V.tal from Brazil-based telecom operator Oi for BRL12.9b.Read more#PE
Itaú Unibanco acquired an 11.3% stake in Brazil-based brokerage XP for BRL7.9b (~USD1.6b), with the majority of shares sold by General Atlantic, which retains a 3.3% stake. Read more#PE
IG4 Capital is planning to raise a new USD300m credit fund providing solutions to medium-sized companies. IG4 is also currently raising its third fund with a target of USD500m. Read more#PE
CDPQ agreed to acquire a portfolio of power transmission assets in Brazil, Peru and Uruguay from Terna Group for EUR265m (~USD279m). Read more#Real Assets
Homebrew and SoftBank Latin America led a USD200m Series C for Colombia-based proptech Habi at a reported USD1b+ valuation, with participation from Endeavor Catalyst, Tiger Global, Inspired Capital, Clocktower Ventures and Henry Kravis. Read more#VC
Insight Partners led a USD196m Series B for Mosyle, a Brazil- and US-based MDM (Mobile Device Management) platform for Apple devices, with participation from StepStone Group, and follow-on from Elephant and Album VC. Read more#VC
KASZEK and Avenir Growth led a USD111m Series B for Xepelin, a Chile-based payments and lending platform for SMEs, with participation from PayPal Ventures, Endeavor Catalyst, DST Global, Wellington, Picus, Battery Ventures, MSA Novo, FJ Labs, Amarena, Gunderson, Cathay-Seaya Latam, Gilgamesh, and angel Carlos Garcia (Kavak). Read more#VC
QED Investors led a USD100m round for Solfacil, a Brazil-based solar energy financing platform, with participation from Valor Capital Group, SoftBank and VEF. Read more#VC
Evergreen Investment Partners is looking to raise USD100m for its Hidrogenesis Fund I, a vehicle targeting investments in green hydrogen projects in Latin America and Spain. Read more#Real Assets
US-based PE Lightsmith Group led a USD60m round for Solinftec, a Brazil- and US-based farm analytics and operations management platform, with follow-on from Unbox Capital and Circularis Partners. Read more#VC
Greylock led a USD55m Series B for Inventa, a Brazil-based marketplace connecting regional wholesalers with local retailers, with participation from monashees, NXTP, ONEVC, MAYA Capital, Andreessen Horowitz, Founders Fund, Tiger Global, Pear VC, Avenir Growth and A* Capital.Read more#VC
BNDES agreed to invest up to BRL250m in Lightrock’s Growth Equity Fund II Brasil. The fund will invest in health, education, renewable energy, sustainable agriculture and food, efficient mobility and transport, financial system transformation and digital infrastructure in Brazil. Read more#PE
Tiger Global and KASZEK led a USD24m round for Minka, a Colombian API payment network, with follow-on from Fintech Collective. Read more#VC
Snackclub, a Brazilian blockchain-based gaming platform raised a ~USD10m round from Animoca, Ascensive Assets, Formless Capital, Jump Crypto, Mechanism and OP Crypto. Read more#VC
Advent International agreed to make an undisclosed investment in Colombia-based third-party hotel operator GHL Hotels as part of a partnership to support the company’s expansion across Latin America. Read more#Real Assets
US-based VC Borderless Capital led a USD10m round for TravelX, a blockchain-based distribution protocol for the travel industry, with participation from Draper Cygnus, Myelin Capital, Monday Capital, Algorand and GoldenTree. Read more#VC
Dalus Capital led a USD10m round for Bankingly, an Uruguay-based digital banking platform, with participation from IDB Lab, IDC Ventures, iThink VC, Athos Group, Kube Ventures, Grupo Finacess, Sonen Capital and Oikocredit.Read more#VC
Sparta is planning to raise an additional BRL50m for its B3-listed infrastructure fund. Read more#Real Assets
Ola GG, an Argentine Play-To-Earn and NFT education platform, raised a USD8m round from TheVentureCity, Galaxy Interactive, BITKRAFT, Arca, Com2Us, Cultur3d, Huobi Ventures, Spark Capital, Blocktower, IVC, Morningstar, Sngha Capital, Mentha, Actai Ventures, Valhalla Ventures, Polygon, Crypto.com, YGG SEA, IndiGG, Bitscale and FIR Capital. Read more#VC
Barn Investimentos led a ~USD5m Series A for Rumina, a Brazil-based livestock health and credit management platform, with participation from Indicator Capital. Read more#VC
Colombia Infrastructure Equity Fund, a fund managed by Colombia Infrastructure Partners, acquired 32.1% of the Terminal de Contenedores de Buenaventura and 50% of the Terminal Logístico de Buenaventura, two port terminals in Colombia, for an undisclosed amount. Read more#Real Assets
Galgo Capital, through its SPV Ancon SpA, acquired 40% of Peru-based financial services company Crece Capital via a secondary transaction for an undisclosed amount. Galgo is now the largest shareholder in the company. Read more#PE
