Dadneo, an investment firm in Chile, recently raised a US$18M fund, called the Vulcan (Volcano) Fund to support about 15 new tech ventures in Latin America. The firm will provide funding rounds from US$300K up to US$1.6M per company.
Dadneo raised the fund from a large group of angel investors, as well as a 3 to 1 backing from Chilean development fund CORFO that allows Dadneo to make substantial investments in companies that are looking to scale globally.
The fund will take on a new system for mitigating the risk of their investments by identifying the five areas that cause 80% of startup failures. They will appoint a special CXO (Chief ‘X’ Officer) to measure and analyze the areas of intellectual property, management, marketing, strategy, and finances, where many startups struggle.
Dadneo currently has offices in Santiago, Concepción, and Miami, and is looking to expand to Berlin and London. The fund is targeted toward global tech companies that are not only based in Chile, but also across Latin America, the UK, the United States, and Germany. The Volcano Fund will last about 8 years and will likely double the number of startups in the Dadneo portfolio.
Read more about the new Dadneo fund: