Bertelsmann Digital Media Investments (BDMI), the corporate venturing unit of Germany-based publisher Bertelsmann, has committed to the launch of a €25m ($35m) early-stage internet and digital media fund in Spain, Cabiedes & Partners.
Tobias Schirmer, investment manager at BDMI, said Spain had a "lively internet economy" and Spanish was the second-most used language on the internet, which allowed Spanish start-ups to tap into Latin American markets.
Other investors in the Cabiedes & Partners angel fund are Neotec Capital Riesgo, a Spanish fund launched by the European Investment Fund and the state-backed Centre for the Development of Industrial Technology; Spanish publishing company Europa Press Group; and the Fund for the Sustainable Economic Development of SMEs (FESpyme) which is managed by Instituto de Crédito Oficial’s Axis Participaciones Empresariales subsidiary.
Luís and José Martín Cabiedes will manage the angel fund, which will invest in 10 start-ups each year and give them strategic and commercial relationships with Bertelsmann’s divisions, G+J, RTL, Arvato, Random House and Direct Group.
The fund has already backed 11 companies: Habitissimo, Comuto, Rockola, Offerum, Uvinum, Ivoox, Parabebes, Bankimia, MBA & Co, Club Santa Monica and Zyncro.
Luís (Pictured) is a serial business angel having invested in MyAlert, Privalia, Trovit and Offerum. José previously worked at local bank BBVA’s asset management subsidiary.