IGNIA Completes 5th Closing of Fund I at US$62 Million
GARZA GARCIA, Mexico, March 2 /PRNewswire/ -- IGNIA Fund I, L.P., Latin America's first social venture fund, announced today that it has completed its fifth closing. The round was led by the International Finance Corporation (IFC) with a US$10 million commitment and Corporacion Mexicana de Inversiones de Capital (Fondo de Fondos) with a US$7.5 million commitment, and included other private investors. IGNIA expects to achieve its goal of $75 million in equity commitments within the coming months. Together with its $25 million in debt financing from the Inter-American Development Bank, IGNIA will have a combined total of $90 to $100 million to invest in innovative businesses that serve the Base of the Pyramid (BoP) in Latin America.
"We are delighted to count the IFC and Fondo de Fondos as investors in the Fund, and are grateful for their confidence in our ability to foment positive change at the Base of the Pyramid while producing superior financial returns," said Alvaro Rodriguez Arregui, IGNIA co-founder and Managing Partner. "By supporting IGNIA, the IFC and Fondo de Fondos are not only supporting the establishment of the venture industry in Mexico and Latin America, but also helping to pioneer a new investment class that will focus on providing market responses to the enormously underserved needs of low income populations," added Michael Chu, IGNIA co-founder and Managing Director.
Both the IFC, the private sector arm of the World Bank, and Fondo de Fondos, a fund of funds supported by the Mexican Government in its mission to promote the development of the country's venture industry, have mandates to foster sustainable economic growth by supporting private sector development, particularly within small and medium enterprises, and mobilizing private capital through the backing of highly experienced investors.
"IFC is pleased to support IGNIA in its innovative approach supporting projects that benefit people at the base of the pyramid in Latin America", said Haydee Celaya, IFC Director for Private Equity Funds. "Our partnership with IGNIA is part of our strategy to demonstrate that the private sector can develop sustainable businesses while creating opportunities in the lower economic segments of the population."
Eduardo Mapes, Chief Investment Officer of Fondo de Fondos, added, "We are highly supportive of IGNIA's venture capital approach to tackling poverty, and believe that the Fund will be instrumental in unlocking the business potential of small and medium-sized enterprises in Mexico and Latin America."
IGNIA Fund I, LP is a social venture capital fund that invests in high growth businesses that serve the base of the pyramid in Mexico and other regions of Latin America. Representative current investments include Primedic, Pro-Organico, IGNIA Bienes Raices and MexVi. For additional information, visit www.ignia.com.mx.
SOURCE IGNIA Partners, LLC
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