Kaszek raises close to $1 billion in new funds to invest in Latin American startups

While most North American startups remain under funding drought conditions, Latin American startups continue to enjoy a funding boom thanks in part to a venture capital (VC) firm like the São Paulo-based Kaszek Ventures. We wrote about Kaskek back in July 2022 after the firm backed a $100 investment in Brazil’s second biggest fintech startup Creditas. Now, the firm has just increased its funding war chest.

Today, Kaszek announced it has raised $975 million across two funds to invest in tech startups in Latin America, Reuters reported. The investment will be directed to two new funds, Kaszek Ventures VI, which will receive $540 million for investments in early-stage startups, and a $435 million fund for later-stage companies from series C rounds all the way to pre-IPO financing in which Kaszek already holds a stake.

Founded in 2011 by Hernan Kazah and Nicolas Szekasy, Kaszek invests in technology-based companies and industries including financial services, education, healthcare, e-commerce, marketplaces, enterprise software, and SaaS, among others. In addition to funding, Kaszek provides “first-hand expertise and insights in strategy, operational execution, team-building, growth, technology, product development, networking, and fundraising,” the firm said.

According to its website, Kaszek has invested in 275 entrepreneurs and more than 120 companies which collectively have raised more than $15.5 billion in total funding. Kaszek has been most active in Brazil and Mexico. Among its portfolio companies are digital bank Nubank, financial services firm Creditas, and digital real estate broker QuintoAndar.

In 2020, Kaszek led an $18.45 million in funding in Sao Paulo, Brazil-based fintech startup Ideal, making it the largest fintech funding round ever in Latin America at the time.