IGNIA, founded in 2007 by Messrs. Alvaro Rodriguez and Michael Chu, is an independent private equity firm focused on investments in Mexico and Latin America. The team has a long-term experience in BoP, investing and executive management.

It is proposed that IFC will invest $10 million in the Fund.

10.0 million (USD)

Product Line	IFC Investment (million USD)
Risk Management
Guarantee
Loan
Equity	10.0

* These investment figures are indicative

The Fund is a partnership established in Quebec, Canada, and has a management team in Monterrey, Mexico.

- Private sector development: The Fund will add value to its investee companies, by providing managerial and strategic support to improve their competitiveness and sustainability. - Implementation of best practice for corporate governance in portfolio companies: The Fund will adopt international best practices for corporate governance and management, as well as transparency, thus fostering knowledge and skill transfer, and encouraging best practices across the industry. - Support for SMEs: The Fund is expected to invest predominantly in SMEs. - Proof of concept: The Fund is expected to demonstrate proof of concept and roll out other similar funds targeting the base of the pyramid in Latin America and other emerging markets.

- Catalyze other funding from institutional and private capital: IFC’s participation will provide comfort to other investors and broaden the Fund’s investor base. - Support an emerging fund manager: IFC will support the development of the local private equity industry by supporting a first-time fund manager. - Governance of the Fund: IFC will seek to play a governance role through participation on the Fund’s governing structures.

This project has been classified as a Category FI project according to IFC’s Environmental and Social Review Procedure. IFC analyzed the fund’s expected portfolio and sectors of investment and determined the Applicable Performance Requirements based on an analysis of the potential social and environmental risks associated with the expected investments. The Applicable Performance Requirements are (i) The IFC FI Exclusion List, (ii) The applicable National Social and Environmental Laws and regulations, and (iii) The IFC Performance Standards. IFC will also review, the capacity of the fund to manage social and environmental risks and to establish and maintain a Social & Environmental Management System (SEMS). IFC may suggest Supplemental Actions to address any gaps in the SEMS if required. The Fund Manager will be required to: (i) Develop and, or upgrade, if necessary, any existing SEMS, prior to disbursement to the satisfaction of IFC (ii) Identify responsible, qualified persons to manage and implement the SEMS (iii) Commit to implement the SEMS to ensure that its investments/activities are in compliance with the Applicable Requirements (iv) Take action to remedy any gaps in SEMS implementation on an ongoing basis (v) Submit a periodic report to IFC as per a format to be provided by IFC. Once in portfolio, IFC will have the rights to review the first few deals prior to the Fund''s investment decisions to ensure that the Fund''s SEMS is performing adequately to address the social and environmental risks associated with the Fund''s investment activities.