Latin Idea Mexico Venture Capital Fund III

Fund III is the fourth fund under management for Latin Idea, since 2000. Fund III makes mid- to later stage venture capital investments in Mexican SMEs in the Technology, Media, Telecommunications and Service Industry with a potential for exit within a four to five-year time frame. Given that SMEs are important engines of employment creation and economic growth but typically face a severe shortage of capital, the Fund visualizes the opportunity to drive a positive social, technological and environmental impact upon its investments

Financial description

Fund III is a growth-oriented investor in small and middle emerging companies throughout Mexico, where up to US$15 million of capital will provide a company with the ability to reach new levels of sales volumes, technology deployment, market share and product offering. Fund III targets companies that are operational and are generating annual revenues of at least US$3 million. Other than in a rare compelling circumstances, Fund III does not expect to invest in any non-revenue generating companies or start-ups without operating history. The Expected Gross IRR of Fund III is above 30%.
Latin Idea currently manages 5 portfolio companies in the TMT sectors: RedIt, Interfactura, SaberLite, Tecnoidea and ScreenCast. For more detailed information please visit: www.latinidea.com
Fund III is making investments with the potential to realize superior capital appreciation in what remains an under-invested sector in Mexico. Fund III is an early mover in Mexico’s growing venture capital industry, meeting the capital needs of technology-driven small and middle market companies (“SMEs”) that are well positioned in the TMT and services sectors in Mexico (the “Target Sectors”) and that have the potential to create a positive impact in their communities and environment around them.