Private equity firm The Carlyle Group has made its first investment in the technology sector in Brazil by acquiring a minority interest in mobile and security services provider FS for over R$100m.
(Press Release) Global alternative asset manager The Carlyle Group (NASDAQ: CG) has acquired a minority interest in FS, a provider of value-added services, mobile applications and content in Brazil and Latin America.
The funds for the investment came from the Carlyle South America Buyout Fund (CSABF) and the Carlyle Peru Fund (CPF). Terms of the transaction, which was completed on December 29, 2016, were not disclosed.
Founded in 2009, FS is a provider of value-added services, applications and mobile content through telecom operators, ISPs (Internet Service Providers) and retailers in Brazil and Latin America. The company provides diverse solutions involving digital security, cloud, insurance, assistance, specialized technical support, mobile learning and interactive services to more than 36 million subscribers.
“It is a great pleasure to announce our partnership with Carlyle, which will significantly help us execute our growth plans. Carlyle, with its global presence, will be of great value in helping us expand to new markets, as well as bringing to the company the best international practices in management and governance. Among our many achievements in 2016, this was undoubtedly the most strategic,” commented Alberto Leite, CEO and co-founder of FS.
“We are gratified by the progress of FS in recent years and we believe that with the support of Carlyle we will be well positioned to take advantage of future growth opportunities that may arise,” said David Carvalho, COO and co-founder of FS.
Carlyle South America Buyout Fund’s co-head, Juan Carlos Felix, added, “Carlyle has great Technology, Media and Telecommunications (TMT) expertise internationally, which should contribute to further accelerate FS’ impressive growth. The FS team has done an outstanding job, having achieved a strong position in the market with a solid value proposition for its business partners and subscribers. We are excited to collaborate with them in the development and consolidation of such a successful business.”