Brazil continues to be Latin America’s favorite country for venture capitalists. According to Transactional Track Record (TTR), in the first half of 2022 there were 375 venture capital investment rounds, totaling $3.1 billion. This is a 15% increase in the number of transactions, despite the crisis that began to emerge in the first half of the year.
Mexico, the country that follows Brazil in terms of the largest number of venture capital investments, registered 84 operations valued at $1.69 billion, slightly more than half of Brazil’s total, and which is an increase of 9% in the number of operations and a decrease of 14.35% in the capital mobilized with respect to the same period last year.
In contrast to these countries that have seen an increase in he number of startup transactions, TTR states that Chile recorded fewer deals in the first half of the year compared to the same period of last year, with 55 venture capital transactions valued at $582 million, representing a 3.51% decrease in the number of transactions and a 35% decrease in capital raised.
However, Chile has one of the startups that received a ‘mega round’ (greater than $50 million, Xepelin, which closed a $111 million Series B financing round led by Avenir and Kaszek Ventures.
In the last 10 years, the Latin American countries that have received the most venture investment are Brazil, Mexico, Argentina, Colombia and Chile. Although TTR has not yet published the half-yearly balance of Argentina and Colombia.
Following is a list of the startups that received the most capital in the first half of 2022.
Investment: $200 million
Investors: Tiger Global Management, Endeavor Catalyst, Banco Banorte, Private Shareholders United States I, Homebrew, Clocktower Technology Ventures, Inspired Capital Partners, SoftBank Latin America Fund.
Colombia’s Habi became Spanish-speaking Latin America’s first proptech unicorn in May, and Colombia’s second after Rappi.
Investment: $196 million
Investors: StepStone Group, Elephant, Insight Partners, Album VC
The Brazilian software company for mobile device management in schools and districts is expanding rapidly into the business sector following the success of its first product in the educational sector.
Investment: $152 million
Investors: General Atlantic, Foundation Capital, Tarsadia Capital, Citius, Quiet Capital, Arago Capital
The online supermarket has raised more than $250 million and is seen as becoming Mexico’s next unicorn. Its founder and CEO Ricardo Weder says the company will grow 300% this year.
Industry: Logistics and software
Investment: $150 million
Investors: Private Shareholders I, Tiger Global Management, Monashees, Broadhaven Capital Partners, Tencent, Foundation Capital, Soma Capital, Base10, Mouro Capital, SoftBank Latin America Fund.
In late May the logistics startup founded in Mexico by Mexican Alfonso de los Ríos and Uruguayan Maximiliano Casal became a unicorn, with a value of $1.1 billion after a Series C round.
Investment: $111 million
Investors: Private Shareholders I, Kaszek Ventures, Endeavor Catalyst, Cathay Capital, DST Global Partners, FJ Labs, Avenir, Picus Capital, Manutara Ventures, Chile Ventures, PayPal Ventures, Wellington Partners, Amarena, Gilgamesh Ventures, Battery Ventures
The platform of payments and financial services for Latin American SMEs obtained a Series B financing round just nine months after its Series A, with the participation of Kavak’s CEO, Carlos García Otatti.
Investment: $110 million
Investors: Riverwood Capital, Silver Lake, Viking Global Investors, Sunley House Capital Management, Lightrock (Lightrock).
In early May, Dock reached unicorn status with a value of $1.5 billion. The Brazilian fintech wants to help client companies expand in Latin American countries.
Investment: $100 million
Investors: Kaszek Ventures, Dila Capital, Clocktower Technology Ventures, SoftBank Latin America Fund
Ecuadorian paytech Kushki became the first unicorn in the country in June, and is worth more than $1 billion after receiving an extension of its Series B.
Industry: Security and biometrics
Investment: $100 million
Investors: General Atlantic, Big Bets, SoftBank Latin America Fund, Goldman Sachs Asset Management
Brazilian idtech company Unico will use its Goldman Sachs-led Series D funds for global expansion. The startup is now worth $2.6 billion.
Investment: $100 million
Investors: Valor Capital Group, QED Investors, SoftBank Group, VEF
The fintech that provides financing to individuals and companies seeking to install solar panels raised a Series C in May. Last year, Solfácil created a marketplace to aggregate integrator partners that can sell solar panels to end customers.
Investment: $90 million
Investors: General Atlantic, International Finance Corporation (IFC), Endeavor Catalyst, WTI, Quona Capital, aCrew Capital, Mouro Capital, Prosus Ventures
The latest capital injection will be used by the Mexican fintech to promote loans and make savings services available. It will also allow it to improve its platform and explore strategic acquisitions.
Endeavor predicts that in the remainder of 2022 there will be fewer rounds above $50 million. Investment in Latin American startups will not slow down, but it will be more cautious.