Introducing Endeavor Catalyst
Endeavor Catalyst is an innovative, passive investment pool that uses donated capital to co-invest in Endeavor Entrepreneur funding rounds in a neutral, rules-based process.
The main goal of this program is to harness the value creation of entrepreneurs to produce investment returns that support Endeavor Global’s operations and that are reinvested in future Endeavor Entrepreneurs’ venture rounds.
ANNUAL RETURNS (IRR)
A notional Endeavor Catalyst would have exceeded US and EM VC/PE benchmarks.
(1998 – 2010)
|Cambridge US VC
(1998 – 2010)
|Cambridge US VC
(1998 – 2010)
(2000 – 2010)
NOTE: Endeavor historical returns. Cambridge Emerging Markets index is pooled end-to-end return; 15% LP return is gross IRR realized by general partners; MSCI Emerging Market Index is total return gross of dividend taxes.
The Compounding Effect
Unlike traditional philanthropy, Endeavor Catalyst compounds donor capital across multiple cycles. Over a 20-year period, a $1m donation would result in approx. $9.6m in direct investments to Endeavor companies and $5m to Endeavor operations. Endeavor would calculate this return as an rodc multiple of 14.6x.
RETURN ON DONATED CAPITAL (RODC)
As proceeds are recycled into new investments, initial donations generate ever-increasing funds for social impact, which can be measured as an ever increasing multiple on the original donor capital — Return on Donated Capital, a new impact measurement term introduced by Endeavor.
NOTE: Assumes base case return of 2.2x return on invested cash (historical return on invested cash in Endeavor Entrepreneurs’ venture rounds of $10M or more is 2.9x). Weighted-average length of a cycle is 5 years.
PROMOTE INNOVATION AND INVESTMENT IN EMERGING MARKETS
||Endeavor Catalyst’s rules-based investment process further supports the market mechanisms by which venture investors identify and invest in the best opportunities. As such, your Catalyst donation helps to catalyze a culture of innovation and investment in the markets in which we operate.
COMPOUND YOUR IMPACT
||Your donation today launches A compounding effect by which your dollars perpetually generate proceeds to not only support additional entrepreneurs’ venture deals but also to ensure Endeavor’s ability to continue to offer outstanding support and services where developing entrepreneurial networks need it most.
MAKE ENDEAVOR SUSTAINABLE
||With access to best-in-class entrepreneurs in emerging markets, Endeavor has an opportunity — unique among non-profits — to “put its money where its mouth is” and to align its future with the success of the very entrepreneurs it supports. Compounding your donations will make Endeavor Global self-sustainable in the long term in a mission-driven way.
KEEP TABS ON WHAT’S HOT IN GLOBAL EMERGING MARKETS
||Endeavor Catalyst follows the most attractive deals across the emerging markets broadly, making it a compelling venture industry benchmark for the most exciting global opportunities. Catalyst donors gain unique insight into the global venture landscape and its evolution through annual reporting and periodic meetings with fellow donors and Endeavor Entrepreneurs.
Endeavor Catalyst Donors
Philanthropic firm established by eBay founder Pierre Omidyar & his wife Pam Omidyar
Lemon.com (formerly Bling Nation, Inc), Founder & CEO; Endeavor Entrepreneur
Amazon.com, Senior Vice President – International
Andy Freire, Santiago Bilinkis & Pablo Simon
Co-Founders, Quasar Ventures LLC
Andy Freire & Santiago Bilinkis: Co-Founders, Officenet; Endeavor Entrepreneurs
Chairman, True North Venture Partners; Executive Chairman, First Solar
Edgar Bronfman, Jr.*
General Partner, Accretive LLC; Former Chairman, Warner Music Group
Managing Partner, Accretive LLC
Co-Founder & Chairman, LinkedIn
Founder & Group CEO, Abraaj Capital
Founder & Chairman, eBay
Note: Donations to Endeavor Catalyst are U.S. TAX DEDUCTIBLE.
Investments To Date
- Deal closed January 2013
Peak Games is bringing top quality Facebook and mobile games to emerging markets. The company has offices in offices in Turkey, Spain, Germany, Jordan and Saudi Arabia and is already among the top six gaming companies globally with 5.9 million Daily Active Users (DAU).
- Deal closed December 2012
Grupo Procesa was the first company to offer pouched tuna in Mexico, the world‘s second largest tuna market. Through its trademark brand, Marina Azul, Grupo Procesa sells traditional yellow-fin tuna in an innovative, 105-gram flexible pouch – with higher margins than its competitors.
- Deal closed September 2012
Yemeksepeti, an online food ordering and delivery portal, is one of Turkey’s most successful web businesses. It provides customers with online access to almost 5,000 restaurants across Turkey, and has expanded internationally with izrestorana.ru, Russia’s first online food delivery site, and foodonclick.com in Dubai, Sharjah and Abu Dhabi.
- Investment closed May 2012
AirTies provides wireless solutions for the residential and small business market in the Europe, Middle East and Africa region. Developing, producing and marketing network and wireless modems and accessories, AirTies is the first company in the world to introduce its innovative MESH networking technology, superior for the unique wireless networking requirements of Europe and other emerging markets where most buildings are constructed out of concrete and steel.
- Deal closed March 2012
Minha Vida is an online portal focused on providing broad access to health and wellness information to improve the Brazilian population’s quality of life. Minha Vida is the largest health and wellness portal in Brazil, with over 8 million unique visitors per month, 14 million registered users, 10 million visits per month and 50 million page views.
- Deal closed January 2012
Globant is the Latin American leader in the creation of innovative software products that appeal to global audiences. It is comprised of more than 2,500 IT professionals, based in 15 delivery centers across Latin America and the U.S. and working for customers like Google, Electronic Arts, Coca Cola, JWT and LinkedIn.