In 1998, Laura Arrillaga launched the Silicon Valley Social Venture Fund (“SV2”) with two objectives: 1) providing Silicon Valley donors with philanthropic experience and education that would empower their personal giving; and 2) awarding local nonprofits with multi-year, capacity-building grants that would help them to strengthen their organizations and meet the higher level of accountability associated with contemporary philanthropic investments. SV2 followed a venture philanthropy partnership model in which investors pooled their money to give large, multi-year grants to nonprofits and also served in consulting and advisory roles to help grantees meet their capacity-building goals.
Arrillaga created SV2 in partnership with Community Foundation Silicon Valley (“CFSV”), a nationally recognized public foundation that had experience working with individual donors and had established credibility within the philanthropic field. Arrillaga formed SV2 as a donor-advised fund to ensure that CFSV staff would help guide SV2 partners leverage their expertise and funding to select high-performing community organizations, thus generating the greatest social impact.
By 2005, Arrillaga and CFSV had built a volunteer-driven organization composed of 160 partners ranging in age from their twenties to their sixties. SV2 had donated $2 million to support 13 local grantees. Moreover, SV2 had implemented two professionally facilitated strategic planning processes in its short history. In the future, Arrillaga and her team hoped to continuously evolve the organization, in particular, to improve SV2’s partner consulting program to better leverage partner expertise to benefit grantees. They also wondered how to more fully engage partners in SV2’s grantmaking and educational activities while increasing SV2’s accountability to grantees, partners and the broader philanthropic community.
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Case No: SI80
The Global Environment Fund (GEF) is a private equity fund focused on investments in environmental and energy solutions in both developed and developing markets. The fund is currently examining the strategy of one of its portfolio companies–NEOgás, a Latin American natural gas supplier–which is considering entering the Mexican distribution market. The case recounts two previous GEF investments in emerging markets, a South African forestry company and a Southeast Asian waste management business, as examples of successful management strategies for creating value in emerging markets.
Case No: F285
This case describes the formation and operation of Leopard Capital, a “Frontier Market Private Equity Fund” from its establishment in 2007 up through the end of 2012. The case focuses on the fund’s founder, Douglas Clayton, and his history doing business in Asia and what led him to the decision to start Leopard Capital as a Cambodia- focused private equity fund, and later to expand into other frontier markets such as Mynmar, Mongolia, and Haiti.
The case emphasizes the fundraising challenges Clayton faced as a first-time fund manager operating in a developing country, and some of the creative strategies Leopard employed in order to attract capital from investors. The case also overviews the economic and political history of Cambodia.
Case No: F279
This case updates the activities of Citadel Capital, a Cairo-based Emerging Markets Private Equity Fund, in light of ongoing political uncertainty in Egypt and the MENA region.
Case No: F297(B)
This case described the activities of Citadel Capital, a Cairo-based Emerging Markets Private Equity Fund, in Egypt during the tumultuous political environment following the Arab Spring and the country’s first democratic elections. The case focuses in particular on Citadel’s approach to investment exits and liquidation in order to realize value for investors.
Case No: F287(A)
Mobius Motors manufactures and sells low-cost cars in the Kenyan market. The company strives to make the cars such that they are affordable, yet still perform well on Africa’s generally poor road networks. The company has attracted a lot of attention from development and venture financiers, and has ambitious plans to expand throughout the African continent. However, Mobius’s fleet of vehicle is still currently very small, and the company faces many strategic challenges on both the demand and the supply side of the business.
Case No: IDE01
Venture capitalist Atul Kapadia was inclined to provide seed funding for Sujeet Kumar and Michael Sinkula to found Envia Systems, a lithium-ion battery company. Admittedly, Envia was little more than the founders’ vision of an affordable electric vehicle and the potential of playing in a very large market. But for Kapadia, it was precisely these two key ingredients that made Envia attractive and akin to other early-stage investments he had made at Bay Partners.
Case No: E407