- This is Capria Ventures’ first direct co-investment in Latin America’s thriving agtech ecosystem.
- Listings on Agrofy have grown 89% YOY as more players in the market are adopting and becoming more comfortable with the e-commerce model.
Seattle, October 29, 2020: Leading agtech startup, Agrofy, has raised USD 3 million in Series B funding from Brazil-based SP Ventures and US-based investor, Capria Ventures. Argentina’s Agrofy is an independent agricultural marketplace platform that empowers farmers by leveraging competition for their business, encourages disintermediation, and provides them access to independent information. Currently operating in Brazil, Argentina, and other Latin American countries, Agrofy has plans to enter the US market sometime in the next few years.
Based out of Seattle, Capria Ventures’ fund manages capital from Vulcan Capital, IFC, the Ford Foundation, Gates Ventures and other family offices and institutional investors looking to generate market rate returns and scaled impact in emerging markets. Through its network of 20 partner fund managers, Capria has access to companies in 37 countries in the emerging markets of Africa, Middle East, South & Southeast Asia and Latin America. In alignment with the United Nations’ Sustainable Development Goals, Capria partners with fund managers like SP Ventures, bound by a common objective to create impact and profits by backing early growth businesses like Agrofy.
Will Poole, Managing Partner, Capria Ventures states, “Agrofy is in the right place at the right time with a proven solution that’s transforming antiquated business systems and bringing them online. Agrofy has learned the complexity of ag supply chains and demonstrated scaled adoption in multiple countries, which bodes well for further fast-paced growth and a large global potential.” He adds,
“With SP Ventures, an early investor in the company, we felt confident and found a perfect opportunity to partner and provide value to Agrofy as they scale and create impact.”
Existing investor in Agrofy, Francisco Jardim, Partner, SP Ventures explains, “Agribusiness has been the brightest spot of the Latin American economy, from exports to sustaining jobs. As we see global population growth and wealth generation in emerging markets, food demand is expected to increase by 60–80% in the coming 3–4 decades. Agrofy has the unique potential to generate farmer empowerment, essential to meet such demands. As a marketplace generally does, it will strive to create more competition for farmers’ businesses. This includes not only inputs and equipment, but also agronomic and financial services.”
Price transparency will surge. Capria & SP Ventures are bonded by a shared faith that entrepreneurship & innovation is the most effective way to sustainable solutions.
Maximiliano Landrein, CEO of Agrofy says, “We are glad to be backed by Capria Ventures, a fund with global reach, decades of expertise and known for strategic global investments. It strengthens our motivation and belief. Agrofy will utilize the fund to expand its operation in newer geographies, grow the team and deepen the growth of our platforms and develop our proprietary payment system launched recently: ‘Agrofy Pay’. To receive this capital contribution, even when we were not in the investment round season, means a lot to Agrofy.”
Investment scenario and sentiments during COVID-19
Agriculture is a dominant industry in Latin America, with Brazil and Argentina leading agtech innovation and application. In recent years, connectivity has grown in rural areas and smartphone penetration has become almost universal among farmers. The market is ripe for the transformation from traditional brick-and-mortar retailers toward e-commerce and marketplaces.
With a horizontal, multi-category agtech marketplace in one of the biggest agricultural markets in the world, Agrofy addresses the need of the hour. Investments in agtech innovations have only strengthened during COVID-19, forecasting the potential sustainable and efficient applications that startups like Agrofy hold for the future. Latin American agtech landscape has exhibited its financial aptitude, which is promising and attractive to investors.
About Capria Ventures
Capria Ventures is a global investment firm leading, partnering with and funding the largest network of emerging market fund managers collaborating to deliver superior returns and scaled impact. Capria brings venture capital innovation and global best practices to local venture capital, private equity and innovative debt funds, managed by local investment experts. Capria’s network of investing partners collectively manage more than USD $400 million in assets deployed in early stage and early growth companies in Latin America, Africa, and Asia. Capria has over $100M in AUM which it invests directly in India via Unitus Ventures, and in other markets via partners of the Capria Fund which takes anchor GP and LP positions. Capria has offices in Seattle, Paris, Santiago, Bangalore and Nairobi. More about Capria Ventures >
About SP Ventures
Founded in 2007, SP Ventures is one of the most active venture capital managers in the country. Through Equity Investment Funds (FIP), the firm acquires equity interest in small and medium-sized companies with innovative technologies and high growth potential, actively participating in the management of the company.. SP Ventures supports entrepreneurs in overcoming main challenges to achieve exponential growth, whether commercial, development, contracting, or internationalization. By introducing the best corporate governance practices, governed by ICVM 391, the firm guarantees professional portfolio management and long-term alignment with investors’ interests. More about SP Ventures: More about SP Ventures >
Agrofy is a global pure agriculture e-commerce ecosystem that increases productivity and profitability in the agribusiness sector through online transactions. Agrofy offers farmers access to a wide range of providers that enhance purchase options using the latest technology and with better prices. Agrofy also provides more alternatives to crop sales and generates a market for second-hand assets. The marketplace allows suppliers to scale their business reaching new customers and markets, reduce commercial costs and gaining clients’ loyalty through a multichannel platform. Agrofy simplifies agribusiness. More about Agrofy >