Vinci Partners has reached a BRL1b (~USD173m) final close for Vinci Impacto e Retorno IV. The vehicle will invest in medium-sized companies operating in the healthcare, education, retail, IT and food sectors in Brazil.
(Press Release) Vinci Partners Investments Ltd. (NASDAQ: VINP) (“Vinci Partners, “the Company,” “we,” “us,” or “our”), the controlling company of a leading alternative investment platform in Brazil, announced today the final closing of “Vinci Impacto e Retorno IV”, or “VIR IV”, the impact family of funds managed by the Vinci Partners’ Private Equity segment. The fund was formally closed at the Hard Cap of R$1 billion.
This fundraise represents additional long-term capital with formal lock ups of at least 10 years, raised through local and offshore institutional clients, high net-worth individuals, and retail investors.
VIR IV has a unique strategy in Brazil, with a dual mandate to generate favorable market returns as well as impact, through the acquisition of minority holdings in small- and medium-sized Brazilian enterprises with business models that exhibit growth potential and clear measurable environmental, social and governance, or ESG, goals.
José Pano, partner and Head of the VIR strategy for Vinci Partners, said, “We are very pleased with our successful fundraising for VIR IV. This one-and-only strategy allows us to generate attractive market returns to our investors and at the same time see the impact generated in our society, with quantifiable ESG ratings for each of the fund’s investments. We have a great opportunity for this type of investment in Brazil and trust that with the team’s track record we can achieve results in line with investors’ expectations.”
Bruno Zaremba, partner and Head of Private Equity and Investor Relations for Vinci Partners, said, “The final close for VIR IV is extremely relevant to the company in two different levels. First, this fundraise represents R$1 billion in additional long-term, high-quality capital for our private market strategies, and a new avenue of growth inside the firm. Additionally, VIR IV marks an important milestone within Vinci Partners’ ESG approach over the years. We have been pioneers in the adoption of responsible investment and ESG integration in our investment decision process, being a PRI signatory since 2012, and remain one of the few alternative asset managers in Brazil with an active impact-oriented private market strategy, which really sets us apart from the competition.”
The VIR IV strategy has already concluded two investments, with a total allocation of 10% of total commitments, since its first closing: a 43% stake in Pró Infusion, a leading outsourcing company of pharmaceutical compounding services, and a 33.3% stake in Oeste Saúde, a small-sized healthcare plan operator. Both companies feature high-growth profiles and can generate impact by bringing high quality healthcare services to the low-income population in Brazil.
About Vinci Partners Private Equity
Vinci Partners’ Private Equity strategy has a sector-agnostic approach focused on growth equity investments in Brazil. The main strategic focus is value creation by promoting revenue, productivity and profitability growth through significant operating and management changes in portfolio companies. The private equity strategy invests through two sub-strategies: Vinci Capital Partners, which focuses on control and co-control investments, and Vinci Impact and Return, that focuses on minority investments in small-to-medium enterprises with dual mandate of generating ESG impact as well as market returns.
About Vinci Partners
Vinci Partners is a leading alternative investment platform in Brazil, established in 2009. Vinci Partners’ business segments include private equity, public equities, real estate, credit, infrastructure, hedge funds, and investment products and solutions, each managed by dedicated investment teams with an independent investment committee and decision-making process. We also have a financial advisory business, focusing mostly on pre-initial public offering, or pre-IPO, and merger and acquisition, or M&A, advisory services for Brazilian middle-market companies.
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