Juan Carlos Costales - Cemex Ventures

What is Cemex Ventures and what is its main focus?

Cemex Ventures is defined as more than just Cemex Corporate Venture Capital. It positions itself as a bridge to open innovation, created with the objective of exploring what is happening beyond the boundaries of Cemex's traditional business, mainly in terms of technology and innovation. Founded to interact both internally and externally, Cemex Ventures seeks to catalyze innovation within the construction industry, traditionally slow to adopt new technologies.

What are Cemex Ventures' areas of investment?

Cemex Ventures focuses its investment thesis on four key areas, all aligned with Cemex's strategic priorities:

• Greener Construction: prioritizes more sustainable construction, addressing waste management, efficient water use, and clean energy sources. It is a direct response to Cemex's commitment to the decarbonization of its operations.

• Supply Chain: Although it needs little explanation, this area focuses on optimizing the supply chain, crucial to any construction operation.

• Increased Productivity: Using digital technologies such as Building Information Modeling (BIM), this area focuses on increasing productivity through precision in construction.

• Innovative Technologies: Includes the use of robotics, 3D printing with cement as "ink", and Offsite Construction. This focus explores how these technologies can change the way we build today.

At what stage does Cemex Ventures decide to invest?

Cemex Ventures typically invests in early stage to Series A, with a preference for those closer to Series A, this to ensure that the solutions have traction and are better proven in the market. The financial contribution varies between 500 thousand and more than one million dollars, ensuring that no more than 15% of the capital is taken so as not to discourage entrepreneurs.

What motivates or discourages Cemex Ventures to invest?

A successful relationship with a corporate requires the startup to present a solid pitch, focusing on how it can bring value to the corporate without focusing solely in terms of price. It is crucial that innovators clearly identify and communicate the value of their solution to specialized operational areas, which may be unaware of specific innovations that can benefit their tasks.

What is the most common mistake startups make when seeking investment?

The most frequent failure is not clearly communicating how their product or service will produce significant value to the corporate. Startups should focus on educating corporations about the potential value of their innovations so that they can then move on to negotiating. The ability to size the value that a solution can capture is critical to success in these interactions.

This insight shared by Cemex Ventures highlights the importance of education and mutual understanding in the investment process, and exemplifies how effective collaborations can drive innovations that benefit both parties.