Santander Doubles Its Bet on Fintechs
September 11 2020 - 3:29AM
Dow Jones News
By Pietro Lombardi
Banco Santander SA has doubled the funds of its fintech
venture-capital arm and launched a process to create a new entity
managed autonomously.
The Spanish bank--one of the eurozone's largest banks--said
Friday it is launching Mouro Capital, a new venture-capital fund
focused on startups linked to the financial-services sector. The
fund succeeds Santander Innoventures, and will have resources of
$400 million, double the bank's current commitment.
Led by Manuel Silva Martinez--who has been at the helm of
Innoventures since 2018--and Chris Gottschalk, the fund will focus
on leading funding rounds with initial investments of up to $15
million.
The move to spin out the unit is part of the Spanish bank's plan
to invest more than $23 billion in digital transformation and
technology over the 2019-2022 period.
Santander Innoventures was launched in 2014 with initial funds
of $100 million. It has so far invested in 36 startups, roughly 50%
of which are U.S.-based. A fifth of them are based in Latin
America, while the remaining are European.
"By increasing our investment, while giving greater autonomy to
the fund, we can be even more agile and further accelerate the
digital transformation of the group," Executive Chairman Ana Botin
said.
Santander Innoventures has played an important role in the
bank's tech strategy: seven out of 10 companies currently in the
fund's portfolio work with Santander. It was also among the early
investors in companies that then reached the status of unicorn,
namely worth more than a billion dollars, such as Ripple.
Write to Pietro Lombardi at pietro.lombardi@dowjones.com;
@pietrolombard10
(END) Dow Jones Newswires
September 11, 2020 03:14 ET (07:14 GMT)
Copyright (c) 2020 Dow Jones & Company, Inc.
Banco Santander (NYSE:SAN)
Historical Stock Chart
From Mar 2024 to Apr 2024
Banco Santander (NYSE:SAN)
Historical Stock Chart
From Apr 2023 to Apr 2024