Banco do Brasil Launches R$115 Million AI-Focused VC Fund via MSW Capital

Context Banco do Brasil already runs BB Ventures, a corporate venture fund launched in 2020 that was doubled to R$500 million last year. Its original focus covers fintech, agritech and govtech startups. Adding AI expands the bank’s innovation pipeline into a high‑growth sector while keeping the same late‑seed to series B investment approach.

Key Facts The BB Ventures 2 fund totals R$115 million, roughly $20 million, and will be administered by MSW Capital, a Brazilian firm that now manages dedicated corporate vehicles. Typical cheque sizes range from R$5 million to R$15 million, with the ability to allocate up to R$25 million for select opportunities. MSW expects to complete at least six investments in the next three years, retaining reserves for follow‑on rounds. On the day of the announcement, Banco do Brasil’s shares (BBAS3) closed at R$30.10, up 0.4%, giving the bank a market cap of approximately R$310 billion.

What It Means Corporate venture funds like BB Ventures 2 allow banks to source external innovation without building internal teams, spreading risk while gaining strategic insights. By earmarking capital for AI, Banco do Brasil signals intent to stay competitive in digital finance and related industries. The fund’s structured follow‑on reserves could help portfolio companies scale beyond early stages, potentially attracting later‑stage investors.

Watch for the first deal announcements from BB Ventures 2 and any shifts in Banco do Brasil’s stock performance as the fund deploys capital.