Newsletter Fourth Edition

AMEXCAP
AMEXCAP Newsletter - Exclusively for Members
FOURTH EDITION, 2012 JULY  16, 2012
 
Transactions
  

 

Latin Idea Ventures raised US$46 million (MXP 615 million) for its fourth fund, Latin Idea Mexico Venture Capital III (LIMVC III), through a CKD backed by Mexican investors.  According to the prospectus filed by Latin Idea Ventures to the Mexican Stock Exchange (BMV), LIMVC III will primarily invest in the technology, media, and telecommunications (TMT) sectors. Latin Idea Ventures is a Mexican based private equity firm, founded in 2000 by Humberto Zesati and Alexander Rossi, to invest in mid to later stage venture companies. The firm has made over ten investments in firms such as CACTO, a customer relationship management (CRM) enterprise, Webmedia, a digital advisory services provider, and RedIT, an information technology (IT) outsourcing services firm.  (July 12, 2012).

 

Gerbera Capital and Mexico Ventures I formalized a co-investment in Kiwilimon.com, a web-based specialty retailer operating in the cooking recipes and groceries segment in Mexico. "Kiwilimon is well positioned to penetrate the cooking recipes segment in Mexico through its over 250 thousand unique monthly users and over 94 thousand followers in facebook and twitter", mentioned Alonso Díaz Etienne, Managing Partner of Gerbera Capital, a Mexican private equity firm founded in 1999 and currently managing two real estate funds, one venture capital fund, and a global asset management platform. Mexico Ventures I is a Mexican fund of funds vehicle co-managed by CMIC (Corporación Mexicana de Inversiones de Capital) and Sun Mountain Capital. The fund of funds has approximately US$20 million allocated for co-investments (July 11, 2012).

 

Capital Indigo raised US$5 million from Fondo de Fondos, the largest private equity institutional investor in Mexico.  Fondo de Fondos, through CMIC, has closed an investment commitment of US$5 million with INDIGO 1 FICAP, a US$20 million fund focused on "multi-industry" segments in Mexico. INDIGO 1 FICAP is the first fund of Capital Indigo, a Mexican based firm co-founded by Everardo Camacho, former Chairman of Sinca GBM, a US$255 million committed capital fund, and Bernardo Paasche, who managed a US$2 billion emerging market fund for HBK. With this deal, Fondo de Fondos continues supporting investments in private equity and venture capital in Mexico.(July 2, 2012).

 

 

Upcoming Programs
 
Private Equity Program for Executives (ADECAP), starting date: September 12, 2012. AMEXCAP, in collaboration with FOCIR and IPADE, invites you to the second edition of ADECAP at the IPADE School of Business in Mexico City. The program is targeted to directors of corporations and practitioners of the alternative assets industry in Mexico interested in sharpening their private equity executive skills. Founded in 1967, the IPADE School of Business has educated over 23,000 attendees and is Mexico's leading business school according to a ranking by the Financial Times. The School utilizes the business case method and since its inception works in collaboration with Harvard Business School and IESE Business School to promote research initiatives and improve the content of its academic programs. For more information and to register please follow this link.
 
The PYME fund of the Mexican Ministry of the Economy (Secretaria de Economia), opens registration for the second edition of the 2012 "Mercado de Deuda" Program. The PYME fund provides favorable financing (interest free - principal repayment only) of up to MXP 10 million to Mexican small and mid-sized firms seeking support to speed up their corporate governance and managerial practices in order to issue debt through the BMV (Mexican Stock Exchange). Eligibility requirements include having between MXP 100 million and MXP 250 million in net revenues for 2011. For more information follow this link .
 
Industry Insights 
 

Reports

 

Privcap Briefing: Investor Capital in Emerging Markets. David Marchick, managing director at the Carlyle Group, Maureen Downey, principal at Pantheon Ventures, and Peter Furci, partner at Debevoise & Plimpton share their perspective on the forces behind the capital allocation outlook in emerging markets:
1.       More investment will flow to emerging markets
2.       Assessing risk requires careful scrutiny
3.       It's crucial to choose the right GPs
4.       Use terms and conditions specific to emerging markets risks
5.       Big capital from emerging markets will change the world

Read full briefing 

 

 

The Next Winning Move in Private Equity (Booz & Co.):  To outperform their rivals, private equity firms will need to enhance their ability to spur organic growth in the companies they own (and public companies will need to follow). Findings also include figures showing a shift away from the traditional core business at powerhouses such as KKR and Blackstone. Read insight

Industry Headlines
 

 

Teachers' Private Capital is looking at investing in Latin American funds for the first time. Ontario Teachers' Pension Plan, Canada's third largest pension plan with C$117 billion in assets, through its private equity arm Teachers' Private Capital, is seeking directs and through funds investments in India and Latin America to diversify its emerging-markets focus beyond China and Hong Kong. (Bloomberg, July 13, 2012). Read

 
Mexico, one of the most attractive emerging markets in the world (MoneyWeek, July 13, 2012). Read  
 
Venture Institute's seed capital promotes the creation of new businesses in Mexico (El Economista, July 13, 2012). Read  
 
PriceTravel leveraging on Nexxus Capital's expertise to prepare for an initial public offering in Mexico (El Economista, July 12, 2012). Read  
 
Sorry Brazil, investors prefer Mexico (Forbes, July 10, 2012). Read  
 
Southern Cross Latin America Private Equity Fund LP is seeking to sell Argentinean oil and natural gas producer Cia. General de Combustibles SA, El Cronista reported, without saying how it got the information (Bloomberg, July 5, 2012). Read
If you would like to share your story please reach out to rgranja@amexcap.com
 
Kind Regards,
 
AMEXCAP

Mexican Association of PE & VC Funds

Upcoming Events AMEXCAP -Sponsored & Supporting
 
EMPEA webcast - "EMPEA Guidelines - a Legal and Regulatory Framework for Global Private Equity", July 19, 2012.
 
The 4th Latin America China Investor Forum (LatinFinance), Sep 11-12, 2012, Shanghai, China
20% discount to AMEXCAP members

 

LAVCA Annual Summit and Investor Roundtable, September 12-13, 2012, New York, NY

 

20% discount to AMEXCAP members

Link to event 

 

The Latin America Korean Investor Forum, Sep 14, 2012, Seoul, Korea 

 

20% discount to AMEXCAP members

Link to invitation 

 

EMPEA's Private Equity in Emerging Markets 2012, October 23, London

Link to event