Brazil: Valor-01/Sao Paulo
Residents neighboring an iFood-Tembici support point in São Paulo
Health and Safety
IFC has an active equity investment of up to USD 25 million in Valor Venture Fund III and up to USD 10 million in Valor Opportunity Fund. Valor Venture and Valor Opportunity invest in early-stage technology companies and international technology companies seeking to expand into Latin America, and specifically into Brazil. Valor has an active investment in Tembici, the largest bike-sharing company in Latin America. In 2020, Tembici partnered with iFood—a mobile platform where customers can find and order food from restaurants—to implement the project “iFood Pedal”. According to information on Tembici’s website, the project includes flexible plans for iFood delivery partners to use Tembici’s bikes and to create support points—where delivery partners can check-in and return e-bikes, eat, and charge their phones, among other services.
An individual submitted the complaint to the CAO on behalf of himself and the residents of the building in which he resides in São Paulo, Brazil. The complaint raises concerns related to the establishment of a Tembici/iFood support point in October 2020, close to the building, which resulted in crowding the sidewalk to the point where residents had to walk on the road, putting their physical integrity at risk, according to the complainants. These concerns were exacerbated by the pandemic because delivery partners using the support point allegedly did not comply with restrictions and regulations to prevent COVID-19 infections. Furthermore, the complaint alleges that delivery partners rode their bicycles carelessly, generating additional risks to residents’ safety.
The complaint was found eligible in April 2021 and an assessment of the complaint was conducted. During the assessment, the complainants and the company agreed to engage in a voluntary dialogue process to try and resolve the dispute.
On February 2022, the parties signed an agreement addressing the issues raised in the complaint and the case moved into the dispute resolution monitoring phase.
Status as of February 11, 2021