Japan-headquartered telecommunications and internet group SoftBank launched a $5bn Latin America-focused technology fund today called SoftBank Innovation Fund with a $2bn investment.
SoftBank’s $2bn contribution will function as the fund’s anchor investment, and it will act as its general partner while raising additional capital externally. It has also formed a vehicle called SoftBank Latin America Local Hub to interact with local portfolio companies to aid their growth.
The unit will invest across the Latin America region, covering South America up to Mexico, and its target areas include e-commerce, healthcare, mobility, insurance and digital financial services.
SoftBank Innovation Fund will be headed by SoftBank’s chief operating officer, Marcelo Claure, who is also chief executive of Sprint, SoftBank’s US-based telecoms subsidiary. He will be CEO of the unit and oversee its activities while continuing in his other roles.
The Bolivia-born Claure said: “Growing up in Latin America I witnessed firsthand the creativity and passion of the people. There is so much innovation and disruption taking place in the region, and I believe the business opportunities have never been stronger.
“The SoftBank Innovation Fund will become a major investor in transformative Latin American companies that are poised to redefine their industries and create new economic opportunities for millions of people.”
SoftBank’s existing investments in the region include app-based ride provider 99 and last-mile delivery platform Loggi, both of which are based in Brazil. It has not confirmed where SoftBank Innovation Fund’s head office will be located.
