Hugo, the El Salvador-based operator of an on-demand consumer goods delivery app, has launched a strategic investment fund set to be up to $10m in size, Contxto has reported.
Hugo Ventures will invest in seed rounds for digitisation-focused companies that are either based in Latin America or looking to move to the region, particularly businesses serving Central America or the Caribbean.
Founded in 2016, Hugo offers an on-demand micro-logistics app where consumers and businesses across six Central American and Caribbean countries can access services like food delivery and laundry collection.
The company is in the process of expanding the app, having recently added a ride hailing function, and it plans to introduce financial services in the near future.
Hugo capitalised its new fund with proceeds from a series A round of undisclosed size, the money coming from unnamed investors. The proceeds will also enable it to focus on expanding its core business across Latin America.