Summary of Proposed Investment
Project Number
8991
Company Name
The Latin America Enterprise Fund II, L.P.
Date SPI Disclosed
Mar 27, 1998
Country
World Region
Industry
other
Status
Completed
Sector
Private Equity/Venture Cap Fund - Regional
Department
TMT, Venture Capital & Funds
Environmental Category
FI
Previous Events
Approved : May 29, 1998
Signed : Jun 29, 1998
Invested : Feb 16, 1999
Project Description
Summary Of Project Information (SPI)
| Project Name | Latin America Region- Latin America Enterprise Capital Fund, L.P. (LAECF) |
| Region | Latin America and Caribbean |
| Sector |
Projected Board DateApril 27, 1998
Company NameLatin America Enterprise Capital Fund, L.P. (LAECF)
Technical Partner and/or Major Shareholders
The sponsors of the project are the principal executives of the existing Latin America Enterprise Fund in which IFC has made an 8% investment. The core executives have extensive investment and corporate finance experience in Latin America.
Project Cost Including Proposed IFC Investment
Up to US$125 million, including IFC’s investment of up to $10 million for up to 8% of LAECF. In addition, IFC would have co-investment rights for up to US$10 million to co-invest with the Fund in selected portfolio companies.
Location of Project and Description of Site
LAECF will be organized as a Cayman Islands exempted limited partnership, and will be managed by a limited liability Delaware company owned by the working partners of the fund. LAECF’s main offices will be located in Miami in order to allow efficient coverage of investment activities throughout Latin America. The principal countries of LAECF activity will be Argentina, Brazil, Chile, Colombia, Mexico, Peru, and Venezuela.
Description of Company and Purpose of Project
(include IFC’s Role and Development Impact)
The project involves the establishment of Latin America Enterprise Capital Fund, L.P., an up to US$125 million fund that will mainly make substantial minority equity investments in medium-sized non-listed companies throughout Latin America.
Through its involvement, IFC will signal continued strong support for the development of capital markets in the region, and encourage additional investment flows from foreign institutional investors at a time when portfolio investors are cautious in the wake of the Asian crisis. Also, IFC’s presence on the Fund’s Investment Advisory Committee and Advisory Board will enable it to play an important role with respect to the Fund’s corporate governance.
Environmental Category and Issues
This is a Financial Intermediary (FI) category project according to IFC''s environmental review procedure. LAECF will be required to undertake an environmental review of eligible investee companies’ operations. In addition, IFC will assess LAECF’s capability to carry out environmental reviews of each investee company.
| Date SPI sent to InfoShop | March 27, 1998 |
“This Summary of Project Information is prepared and distributed to the public in advance of consideration of the proposed transaction by the Corporation’s Board of Directors. It is provided for the purpose of enhancing the transparency of IFC’s activities and should not be construed as presuming the outcome of IFC Board consideration.”
For Additional Information contact: Corporate Relations Unit -
telephone: (202) 473-7711
facsimile: (202) 974-4384
Sponsor / Cost / Location
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