Читать книгу Transactional to Transformational - Christer Holloman - Страница 24

In February 2016, the new $250 million US fund Propel was officially launched as a fintech venture capital firm. The fund replaced BBVA Ventures, which was originally founded in 2012 to provide funding and expertise to promising technology companies disrupting the financial services industry. In establishing Propel as an independent entity, BBVA did something no other financial services company had done prior to this. BBVA considered that was its best option was to be seen as attractive as other non‐corporate investors for the startups that BBVA was interested in supporting. Being an independent fund gave Propel agility to make decisions faster and more effectively, which brought more and higher quality investments to the Group.

With this new structure, Propel was able to compete with the many established venture funds in Silicon Valley. Propel's focus is on early‐stage investment opportunities at the intersection of technology and finance. Since its formation, Propel's financial performance has outperformed its own expectations; four of its companies, between the Propel portfolio and BBVA Ventures legacy portfolio, have achieved unicorn status, including two IPO and three exits. Having a team on the ground in the centre of the US startup ecosystem has proved to be essential for BBVA.

Looking forward, the expectation for Propel is that it continues to invest in fintech businesses that provide strategic value and financial returns for BBVA. Thanks in large part to Propel, BBVA has a better insight into the talent and capital that can help it build projects to continue transforming itself.