Acumen LatAm Impact Ventures LLC
Status: Approved investmentWhy disclosure?
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Disclaimer
The information as disclosed is indicative and provided on an "as-is/as available" basis for general informational purposes only and should not be construed as financial, legal or investment advice, nor as a commitment or an offer to arrange or provide any financing. The final decision to provide financing is subject to the terms and conditions of FMO in its sole and absolute discretion. When providing links to other sites, FMO bears no responsibility for the accuracy, legality or content of the external site or for that of subsequent links. The information on proposed investment for high-risk investments is made available in the language relevant to the country or region where the bulk of operations take place. Translations of any information into languages other than English are intended as a convenience for local stakeholders. In case of any discrepancy, the information provided in English will prevail.
Who is our customer
The contracting party is Acumen LatAm Impact Ventures LLC, the Fund Management entity of ALIVE Early Growth Fund II LP (“ALEG II”, or “the Fund”). The beneficiaries are portfolio companies of ALIVE Early Growth Fund II LP (“ALEG II”, or “the Fund”), a USD 80m target generalist PE Fund currently being raised by Acumen Latam Impact Ventures (“the Fund Manager”). The Fund will pursue equity/mezzanine growth capital opportunities in 10-15 impact-driven early-stage companies / SMEs with scalability potential that are addressing challenges of low-income communities in Latin America (mainly in Colombia and Peru).
What is our funding objective?
FMO’s funding will be used to contribute to the ALEG 2’s accompanying Technical Assistance Facility. The TA facility will be used to hire external advisors to help portfolio companies of the fund with 1) Beneficiary-driven business insights & Impact monitoring and reporting 2) Gender research studies and gender & diversity action plans to bridge gender and diversity gaps 3) Climate resilience strategies for investees which offer climate solutions 4) Business development support service.
Why do we fund this investment?
The TA facility will help SMEs to better serve vulnerable communities in Colombia and Peru where inequality levels are very high. Additionally, the facility will contribute to enhancing gender inclusion within the portfolio companies and, on a broader scale, within the Latin American ecosystem. This is in line with FMO’s aim to contribute to SDG 10 on Reducing Inequalities. Furthermore, the facility will enhance the Fund's ability to bolster climate adaptation solutions within its portfolio companies, aligning with FMO's aim to contribute to SDG 13 on Climate Action.
What is the Environmental and Social categorization rationale?
N/A
- Region
- Latin America & The Caribbean
- Country
- Latin America & The Caribbean
- Sector
- Infrastructure, Manufacturing and Services
- Publication date
- 12/11/2023
- Effective date
- 11/27/2023
- Total FMO financing
- USD 0.30 MLN
- Funding
- Building Prospects