By Endeavor Intelligence Unit and Glisco Partners

In the first quarter of 2023, private equity investment directed to Latin America weakened, with companies raising US$406M, making it one of the lowest quarters of activity in the ecosystem in the last five years. However, the number of investments is 40% above Q1 2021.

As we mentioned in the previous version of this study, the economic situation in 2022 has caused many funds to reduce their activity in Latin America, creating a gap between the capital required by entrepreneurs and the capital available for investment in the region. As a result, entrepreneurs have turned to other sources of financing such as debt.

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“At Glisco Partners we believe that, although we are facing a complex financial situation in the region, some of the best investments are made precisely in intricate situations such as the current one: we believe it is time to support the best entrepreneurs in the region and take advantage of the considerable opportunity that lies ahead.”

Alfredo Castellanos

Managing Partner at Glisco Partners

Factors such as the abundance of talent and the creation of disruptive business models that respond to the needs of the ecosystem, with new technological and innovative advances, is always a source of attraction for investors globally. The relative scarcity of available capital presented for Late Stages represents an investment opportunity for funds that have liquidity. Funds that are able to support and leverage entrepreneurial talent in Latin America, covering the demand for capital that remains in the region.

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Overview of Venture Capital in Latin America

Trends

Startups & Scaleups

Venture Capital and Growth Equity Funds

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