The Yield Lab Latam targets more partnerships and expansion in 2023

Venture capital manager invests in early-stage startups and has the largest presence and experience in the segment throughout Latin America.

This is a promising beginning of year for The Yield Lab Latam (YLL), a pioneer venture capital fund manager specialized in agrifood technology, present throughout the region with offices and investors in Brazil, Argentina, Chile and Peru, and from this year, also in Mexico and Colombia. Physical presence in these Latin American countries is strategic for expanding partnerships and attracting more investments for the Yield Lab’s third Latam fund, with a total US$ 50 million, to bring new agtechs to the market.

The Yield Lab Latam invests in high-potential early-stage startups in Latin America and, to date, has been responsible for bringing to market companies such as Seedz, Terramagna and @Tech, well known in the Brazilian agro industry.

As a global visibility company, it operates, beyond Latin America, in North America, Europe and Asia-Pacific, and it is this global performance which has added strength to The Yield Lab Latam, making it possible, through investors and partners, to invest in new startups, especially at Seed and Series A  rounds. “Our sector is recession-proof, since the world needs to feed and clothe itself. The current financial crisis does not really affect us, mainly because we invest in early stage startups, with small initial checks. Our search is for value, and to multiply this value”, says Kieran Gartlan, partner at The Yield Latam and based in Brazil.

Opening office in Mexico

In March 2023, YLL will officially inaugurate its operations in Mexico, led by Emilie Abrams, who contributes with her European background and her experience in Mexico, providing an international perspective of our sector. Emilie has experience at companies such as Endeavor and Dalberg, and is the founder of Agtech Mx, an entrepreneurs networking of policy makers promoting the adoption of technology in Mexican agriculture.

Emilie's arrival marks an important phase for The Yield Lab Latam and the direct relationship with farmers and food companies. She conducted a feasibility analysis for The Nature Conservancy for a funding mechanism to catalyze agricultural regenerative transitions across six different food landscapes globally, and supported the Bill & Melinda Gates Foundation team for an updated digital financial services strategy focusing on financial inclusion on the African continent.

Investments in Colombia

TYLL will also intensify investments in Colombia through Sioma, considered one of the 13 most innovative startups in that country. With the new operations, which will officially be launched in 2023, the company hopes to further expand results.

Approaching Europe

In November 2022, a major gathering was held in Buenos Aires to celebrate and reflect about all the achievements in 2022 and the strategy for 2023. The one-week meeting received Argentine investors as well as The Yield Lab Europe team. The target for this new year is that both regions – Latin America and Europe – may act more strongly, consolidating the company as part of an global innovation ecosystem.

“We believe our investors are agents of change. They work as agricultural and food producers, corporations and suppliers committed to the sector’s sustainable future. Together, we provide them strategic visibility to build the innovation roadmap and articulate a wide and deep network, generating solutions on a regional and global scale for business challenges”, says Gartlan.

Visit to the United States

On a visit to Saint Louis, in the state of Missouri, United States, a group of 12 specialists in venture capital from Brazil and other Latin American countries visited, in October 2022, companies, agtechs, universities and other agents on the world ecosystem of innovation.

“The objective was to provide our partners a strategic visibility and networking in a global scale in order to establish relationships between the US Midwest and Latin America, the world's largest players in food production, as well as for innovation and technology in agribusiness”, adds Gartlan.

International event in Brazil

The year 2023 will mark the accomplishment of a major international event in Brazil, the World AgriTech Summit Latam, scheduled for  June in Sao Paulo. In 2022, a similar meeting received people from Argentina, Mexico, Chile, Peru, Colombia and other Latin American countries addressing subjects such as startups foreign investments in Brazil and the future of the AgriFoodTech sector.

Even considering a pandemic scenario and global financial crisis, the startup market is growing by leaps and bounds. According to specialists, the world today follows a green agenda requiring innovative, sustainable and scalable solutions from companies. “The great demand today is for efficiency. Brazil has always had abundance of everything, labor, land, water. Today the world is looking for efficiency in the use of these natural resources, and technology is here to bring that. Everything has an impact, but if you act more efficiently, your impact will be more positive”, concludes Gartlan.

Partnerships with great companies

The Yield Lab Latam is always on the lookout for new opportunities. In 2022, they signed a partnership with Damha Agronegócios, which operates with irrigated agriculture for over two decades, to launch the "Open Innovation Program", which will bring 17 startups with innovative and efficient solutions to the field through digital to Damha agro. The business model is based on venture capital and embraces 17 AgriFoodTech companies in the portfolio.

Collaborative Fund

TYLL and AgTech Garage, recently incorporated by PWC, are institutional partners and together maintain the Collaborative Fund, opening doors for companies from the hub community to co-invest in startups. The partnership aims to attract hub partners to invest in early-stage Ag&food techs. Among the criteria for investees selecting are the multidisciplinarity of the teams and the solutions potential for scale up. The fund is open to co-investment rounds with other VC funds including CVCs.

About The Yield Lab Latam

The Yield Lab Latam is a venture capital investment firm, focused on AgriFood technology with the largest presence and experience in Latin America. Launched in 2017, it has offices in Argentina, Brazil, Chile, Colombia and Mexico, with working teams across the entire innovation spectrum of food and agriculture, from farm to fork.

It invests in high-potential, early-stage startups based in Latin America facing the multiple challenges presented by the agri-food industry. It generates support programs for the portfolio companies, such as governance, talent, commercial strategy, scaling, fundraising, among others.