WIND Ventures

Startup Growth Market Survey

November 2021

www.windventures.vc
From 2020 to 2021, there was a significant increase in interest around LatAm as an attractive
growth market among VCs while it decreased for both China and Europe

What region do you view as the largest growth market for startups outside of
North America? (Please rank the following regions)
Higher score indicates larger growth market 2021 2020

-33%
% Ranked 40%
Top Choice 37%
-31%

30 29%
24% +122%
20% 20%
20 17%
13%
12%
10% 10%
10 8%

2% 2%
0% 0% 0% 0% 0%
0
China Western India Latin Southeast Africa U.K. Middle Japan
Europe America Asia East

2
Similar to last year, large market size and high rate of technology adoption remain the most
important factors when considering to expand into a new geographic region

What market attributes do you consider most important when expanding to a

new region? (Please rank the following attributes)
Higher score indicates greater importance 2021 2020

% Ranked 40% 38%

Top Choice 36%

30 28%

23%
20
15% 16% 16%
13%
10 8%
6% 6%
3%
0
Large High rate of Supportive High mobile Large and Large urban
market size tech adoption local partners adoption growing population
middle class

3
There was a significant increase in VC perception of LatAm as having these attractive growth
elements while declining for both China and Europe

What markets do you associate with these top attributes? (Please rank the
following regions) 2021
Higher score indicates greater association with these top attributes 2020

-47%
% Ranked 50%
Top Choice 45%
-17%
40
35%

30 29%
+189%
24%
20 18%
15%
11%
10 6% 8%
4% 5% 4%
0% 0% 0% 0% 0% 0%
0
China Western Latin India Southeast Africa U.K. Japan Middle
Europe America Asia East

4
VCs are overwhelmingly more optimistic about the success of innovation in LatAm compared
to one year ago…

Are you more optimistic about the success of innovation in Latin America
than you were a year ago? (Please select ‘Yes’ or ‘No’)
% Share of Responses

No
22%

78%
Yes

5
…and interest in learning about LatAm as an attractive growth market for startups significantly
increased from 2020 to 2021 by >25%

If you learned that Latin America had all of the top attributes for an attractive startup growth
market, would you believe that Latin America is an up and coming growth market for tech startups?
(Please select 'Yes' or 'No’)
% Share of Responses

2020 2021
No

No 5%
25%

75%
Yes 95%
Yes
6
The primary perceived challenge from VCs with LatAm for startup business-building remains
political

What do you view as challenges for building a business in Latin America?

(Please select any choice(s) that applies or leave blank).
% of Respondents Selected 2021 2020

100% 95%
90%

80

60 54%
51% 48%
39%
40

20 17% 15%

0
Political Economic Cultural Impact of COVID-19

7
Fintech is the sector VCs most associate with VC investment in LatAm, followed by energy and
retail

What sectors do you associate with VC investment in Latin America?

(Please rank the following attributes)
Higher score indicates greater association
80%

65%
60

40

20 18%
12%
3% 2% 0%
0
Fintech Energy Retail Foodtech Mobility Climate Tech

8
VCs are most bullish on fintech for venture investing in LatAm, followed by energy and
mobility

What do you think is the next big / hot sector for investment in LatAm?
(Please rank the following attributes)
Higher score indicates greater importance
80%

66%
60

40

20%
20
11%
6%
0% 0%
0
Fintech Energy Mobility Retail Foodtech Climate Tech

9
VCs surveyed come from a diverse cross section of venture capital
Are you a: What stage do you invest? What type of investor are you?
% of Respondents % of Respondents % of Respondents
80% 80%
68% 80
63%
60 60 61%
60%
40 37% 40 40 29%
20%
20 20 12% 20
7%
2%
0 0 0
VC CVC Seed Early Growth Sector Stage Regional Generalist
Focused Focused Focused
How many years have you been investing into
startups professionally? In what regions do you invest?
% of Respondents % of Respondents
50 46% 100%
100%
40% 35%
80
30 61%
20% 60 49%
20 40 32%
22%
10 20
0%
0 0
<2 years Between 2 Between 5 Over 10 North Western U.K. Middle Latin
and 5 years and 10 years years America Europe East America
10
About WIND Ventures

is the corporate venture capital (CVC)

ventures

unit sponsored by with vast

resources throughout Latin America and the US

WIND is the force within Copec’s corporate identity related to the sky and clouds that will drive it, and its partners, to new heights, opportunities and developments
11
About COPEC

A leading fuel station and convenience store company with many B2B
fuel services and related activities

83 years of history and part of the 2nd largest corporation in Chile

A most trusted brand throughout Chile and Latin America
Chile

3.500 service stations globally; 630 in Chile Panama

Colombia
#1 market share in Chile, Columbia with significant operations across: Ecuador

Leader in EV charging and bringing renewable US

Peru
energy, solar and storage to customers 12
Our mission is to lead the mobility, energy and retail sectors’ transformations

To do this well, we
WORKING ON INNOVAITON
created the WIND
Growth Platform which AND NEW DEVELOPMENTS
has 2 key capabilities
across the US and Latin
America to:

1 Corporate Venture Capital 2 New Venture Studio in

1. Offer unfair access to in San Francisco, CA Santiago, Chile
Latin America; or

2. Accelerate growth ventures GARAGE

within Latin America
Building a strategic portfolio across Ideating, building and partnering
energy, mobility, retail to learn, with big and small companies
nurture and develop opportunities leveraging COPEC advantages

13
WIND Ventures
Case Studies
December, 2021
2
Stem + WIND Ventures

Leading Commercial Strategy and Forging Relationships in Latin America:

• Founded in 2009, Stem delivers battery storage solutions that maximize renewable energy generation and
help build a cleaner, more resilient grid. Stem’s Athena® software helps lower energy costs and solve
renewable intermittency across the world’s largest network of distributed energy storage systems.
• Having closely followed the impact of Stem’s platform, WIND Ventures started formally working with the
company in 2019 through its $30 million investment and helped launch Stem Latin America.
• In 2021, Stem became the first pure-play smart energy storage company to go public on the NYSE via SPAC
with Star Peak Energy Transition Corporation. Today its customers include Fortune 500 companies, project
developers, utilities, and independent power producers.

“With its strong ties to Copec, WIND Ventures became our continuous partner and played
a crucial role in Stem’s growth in the region”
The Challenge:
• Stem (NYSE: STEM) knew its energy storage platform could be a game-changer in addressing key energy
challenges in Latin America - a region quickly moving from micro-grids to commercial and industrial
installations. But launching in a diverse region like LatAm posed daunting challenges. They needed a partner
to navigate the local political landscape with commercial influence to help them scale quickly. Enter WIND and
Copec’s vast network.
3
Stem + WIND Ventures

The WIND Advantage:

Within 12 months after WIND Ventures’ initial investment in 2019, Stem had a firm deal in place to scale its
technology in Chile, Colombia, and beyond. The key was WIND Ventures’ team guiding the company every
step of the way, and providing Stem the roadmap no other investor was able to do. Most notably:

• Quick and Agile: Facilitated immediate introductions to vital local contacts at Copec, while providing
insight into how to expand throughout the region quickly.

• Total Addressable Market (TAM) expansion: Enabled Stem’s joint venture and strategic partnership with
Copec that scaled its technology throughout Chile and Colombia - driving significant value for both
organizations.

• Local know-how: Through WIND’s Copec relationship, Stem was able to develop South America’s first
virtual power plant as well as the completion of their first smart energy storage system in Chile.

4
5
Wallbox Chargers + WIND Ventures

Charting a New Path for EV Charging in Latin America by Leveraging COPEC’s knowledge, expertise,
and resources :
• In 2015, Wallbox co-founders Enric Asunción and Eduard Castañeda, were on a mission to transform how
the world uses energy in the electric vehicle industry when they noticed a lack of charging solutions
designed specifically for the home. Most companies were only focused on public spaces, so they decided
to seize the opportunity. Six years later, the company is worth $1.5 billion on the New York Stock
Exchange via SPAC, with EV charging solutions for homes, businesses and cities spanning three
continents.

“We needed a partner that had clear geographical synergies, alignment of business
strategy, an innovative mindset toward EV, and a long term commitment to Latin America”

The Challenge:
• Wind Ventures first met Wallbox (NYSE:WBX) in 2021 as the company sought to expand in Latin America.
Having achieved success in Europe, China, and the US, Wallbox was looking for an investment partner
who could help guide it in a region that was notoriously difficult to navigate. And given that LatAM lacked
any kind of mature EV ecosystem, they immediately sought out WIND Ventures, because they needed an
investor and partner already on the ground and committed to the region long term.
6
Wallbox Chargers + WIND Ventures
The WIND Advantage:
Recognizing WIND Ventures’ strong strategic connections to energy companies like Copec in Latin America
as well as the team’s professional venture capital background, Wallbox joined forces with WIND Ventures in
Feb. 2021 when WIND participated in the company’s $38M funding round. This set into motion key
agreements and relationships for Wallbox’s growth in Latin America:

§ Total Addressable Market (TAM) expansion: Wallbox and Copec signed a partnership to support the
development of the EV charging infrastructure throughout the entire Latin American corridor.

§ Agile and quick: This partnership was signed within a matter of weeks after the financing closed.

§ A reliable local partner: Copec’s EV Charging business unit, Voltex, became Wallbox’s perfect local
partner, guiding it through local requirements and nuances, making the difference in finding the right
product market fit quickly and effectively

“WIND Ventures was incredibly supportive in helping us implement our existing AC charging
solutions, while also giving us their commitment to purchase our DC fast charging solution
Supernova, which is currently on track to be produced by the end of this year. “
7
8
75F+ WIND Ventures

Unprecedented Access to Key Markets in South America:

§ Launched after veteran software engineer Deepinder Singh realized IoT technology could help him
better control the temperature in his baby’s room, 75F today is a smart HVAC solution that is building
automation for commercial buildings.
§ This past year, WIND Ventures partnered with 75F through its series A investment round after
recognizing the impact the technology can have on making buildings more energy efficient - a crucial
part of mitigating climate change.

“We were looking for partners that would help us expand into some strategic geographies
and WIND Venture’s connection with Copec was exactly the kind of relationship we
needed. The backing of Copec was a major factor in our success.”

The Challenge:
§ When 75F decided to expand into Latin America, they knew they had to find the right partner. Progress
in each region would be challenging so it would require partnerships and relationships - none of which
they had - so the first thing they did was partner with WIND Ventures.
9
75F+ WIND Ventures

The WIND Advantage:

With previous experience expanding into international markets not going as well as they would have liked, 75F
knew there would be no substitute for working with a great partner who had local connections, context and
language competency. And this is exactly what they found through the WIND and Copec partnership.

§ Agile and quick: The WIND team was active from day one in promoting 75F. It took under six months to
get the agreement signed - which was an amazing achievement given the scope of the agreement and the
disruptions wrought by Covid.

§ Total Addressable Market (TAM) expansion: 75F formed a distribution and seller agreement with Copec
for Chile and Colombia and saw immediate impact after investment.

§ Strong local relationships: Delivering on its promise to help 75F quickly grow in the region, the WIND
Ventures’ team became tireless champions who actively facilitated critical meetings that helped scale 75F
into key regions.

10
Brian Walsh
Head, WIND Ventures
San Francisco, CA

info@windventures.vc