April 25th 2019
REDWOOD VENTURES INVESTS IN SEED ROUND WHERE CRABI INC RAISES $1.3 MILLION DOLLARS
Redwood Ventures, the leading venture capital fund in seed stages in the Central West region of Mexico and which has been focused on investing in technology-based companies, adds to its portfolio the first car-insurance company in Mexico that incorporates artificial intelligence translated into the analysis of the user's driving behavior in each policy.
Crabi with its "Fair Drive" model seeks to integrate into the digital era a transparent and personalized car-insurance based on the way of driving; this is done through the reading of sensors and interpretation of data with Machine Learning. Its mobile application integrates contracting without intermediaries and direct communication. The way of working of this new company allows responsible drivers to see reflected the benefit of these good habits at a fairer price. The car-insurance industry in Mexico has a value close to USD $ 5.4 B
With more than 20 years of experience in the development of new businesses, Javier Orozco founded Crabi together with his Co-Founders Arnoldo de la Torre, Cristina Carvallo and Blanca Méndez in Guadalajara, Jalisco. Recently the company has received authorization from the "Comisión Nacioanl de Seguros y Fianzas" (CNSF) to operate as an insurance institution in the operation of damages, in the automobile industry, thus being the first insurer originated in Guadalajara. During the second quarter of the current year Crabi will begin to issue the policies in a 100% digital way.
"We are confident that Crabi will be the leader in digital innovation in car insurance in Mexico and the world, this industry is ready for change, and we are excited to invest in a team that has the experience, vision and drive to offer the best results. We hope to grow together with Crabi and help them expand their presence in Mexico, "said Ian Paul Otero, General Partner and Principal of the fund.
Redwood Ventures made its first investment in March 2018 and since then it has been an active agent in the detection of disruptive companies. One year after its first closing, it has added six companies in its portfolio, including Ares Materials, Billpocket, Gurú de Viaje, Yotepresto, Troquer and now Crabi. With this investment, the fund reaffirms its leadership in the ecosystem by making investments in companies with a solid technological base and great scalability potential.