3i looks to launch $500m Brazil fund in 2013


3i is reportedly looking to launch a $500m fund in Brazil next year, marking one of the FTSE 250-listed firm’s first efforts to expand amid a radical strategy overhaul.

The Telegraph reported the news, without saying where it got the information.

3i sees Brazil as a key growth market – despite GDP growth slowing this year to less than two per cent –and opened an office in Sao Paulo in April last year to target investments in the country.

The firm signed its maiden deal in Brazil in December 2011 by buying a $55m stake in Brazilian cable TV and broadband provider Blue Interactive.

3i drafted in Standard Bank Private Equity professionals Marcelo Di Lorenzo, Edward Hanmer, Felipe Vivacqua and Carlos Lopes to run its new office in Sao Paulo.

The team focuses on the consumer and business services sectors, and invests between $30m and $100m for majority or minority stakes in businesses with an enterprise value of up to $200m.

About 20 per cent of 3i’s companies generate a portion of their revenues from Latin America.

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