Amadeus has been investing in emerging markets since 2013 and established a strong track record in Latin America.
The digital transformation we first saw in Asia took longer to reach Latin America but is now running at full tilt. Local Amadeus Partner Pat Burtis here shares the story of the region’s tech revolution.
With a critical mass of Brazilians now accessing smartphones, the network effect of digital services has opened up, impacting everything from how people bank, to how they buy food, find a home, and go to school.
Edtech is a key sector for Amadeus, with a successful investment in Descomplica. Now offering a fully online university degree, the company has increased access to good quality education. This is a trend that we see accelerating as the quality of digital content and tools continue to get better.
In the fintech space, we backed the team at Creditas. In Brazil, people were being charged interest rates of 200% or more for unsecured loans by an oligopoly of banks. Creditas has created a fast and efficient way to deliver loans at competitive interest rates, which has benefitted consumers across the board. As a result, they are growing extremely quickly and have passed unicorn status.
One of the issues with emerging markets investing in the past has been exits but now we are seeing companies both IPO and get acquired by global players. The catalytic effect of digital transformation is present across Latin America.