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SoftBank Group establishes SoftBank Latin America Fund 2 with initial commitment of US $ 3 billion

SoftBank Group establishes SoftBank Latin America Fund 2 with initial commitment of US $ 3 billion | Fintech Finance

SoftBank Group Corp. (“SBG”) has established SoftBank Latin America Fund 2 (“Fund 2”), a second private placement fund specializing in technology companies in the Latin American market. We are pleased to announce that we will commit US $ 100 million. Fund 2 will also consider raising additional funding.

The establishment of Fund 2 is a result of the success of the US $ 5 billion SoftBank Latin America Fund (“Latin America Fund”) announced in March 2019. The Latin American Fund has made significant progress, including:

  • As of June 30, 2021, we have invested US $ 3.5 billion in 48 companies with a fair value of US $ 6.9 billion, with a Gross IRR (local currency basis) of 103%, a Gross IRR (US $ basis) of 90%, and Net. IRR (US dollar basis) to 85% * 1
  • As of September 14, 2021, invested in 15 of the 25 Latin American unicorn companies * 2 , including QuintoAndar, Rappi, Mercado Bitcoin, Gympass, and Madeira Madeira.
  • Greatly improved the value of portfolio companies, such as 4.4 times that of Kavak, 4.4 times that of VTEX, 2.6 times that of QuintoAndar, and 3.5 times that of Banco Inter (US dollar basis, as of June 30, 2021).
  • Decentralize investment by investing throughout Latin America, including Brazil, Mexico, Chile, Colombia, Argentina and Ecuador

Latin America Fund and Fund 2 are SBG Vice President and COO, SoftBank Group International CEO Marcelo Claure, managing partner Shu Nyatta, investment team operated by Paulo Passoni, operating partner and head of Brazil. Lead with an operations team run by one Alex Szapiro. The investment and operations teams are active in Miami, São Paulo and Mexico City and have a total of more than 60 people. Fund 2 aims to invest in technology-powered companies at all stages, from seeds to publicly traded companies, in all countries and industries in rapidly developing Latin America. Find promising companies that focus on industries such as e-commerce, digital finance services, healthcare, education, blockchain, and enterprise software, and leverage new technologies and AI to redefine new industries. To go.

Masayoshi Son, Chairman and CEO of SBG, said:
“Latin America is one of the most economically important regions in the world, and the SoftBank Group will continue to promote the introduction of technologies that will benefit hundreds of millions of people in the region. We are confident that there is so much innovation and creativity going on and that there are bigger business opportunities than ever before. Latin America is so strategically important that we have our presence and commitment under Marcelo’s command. I decided to strengthen it. ”

Marcelo said:
“Over the last two years, we have received far more success and returns than expected from the SoftBank Latin American Fund. The great work and vision that Latin American entrepreneurs have shown in the region. Convinced us that digital transformation will continue to accelerate. In fact, we expect 2022 to be the biggest IPO year in Latin American history. Now is the time. It’s time for us to strengthen our commitment in the region. We continue to support technology companies in more than 30 countries and are proud to be the most active technology entrepreneur in the region. “

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