Vinci Partners Impact and Return Strategy Announces Investment in Verdfrut
Vinci Partners Investments Ltd. (NASDAQ: VINP) announced the acquisition of a 34% stake in Verdfrut, a Brazilian fruits and vegetables retailer, through its impact fund, Vinci Impacto e Retorno IV (VIR IV). This transaction is VIR IV’s fourth investment, allocating 33.5% of its R$1 billion capital commitments. Verdfrut, founded in 2002, has grown to over R$200 million in revenues. Funds will be used to expand Verdfrut's operations in the Northeast region of Brazil and improve its ESG initiatives, particularly benefiting small producers in the supply chain.
- Acquisition of 34% stake in Verdfrut aligns with VIR IV's strategy of minority investments in Brazilian SMEs with growth potential.
- Expected funding for expansion of Verdfrut's retail units and distribution center.
- Investment supports Verdfrut's ESG goals and economic stability for small producers in the Northeast region.
- None.
RIO DE JANEIRO, Brazil, Nov. 11, 2021 (GLOBE NEWSWIRE) -- Vinci Partners Investments Ltd. (NASDAQ: VINP) (“Vinci Partners”, “we”, “us” or “our”), the controlling company of a leading alternative investment platform in Brazil, announced today that “Vinci Impacto e Retorno IV”, or “VIR IV” (“the Fund”), the Impact family of funds managed by Vinci Partners’ Private Equity strategy, closed an acquisition equivalent to a
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, that exhibit growth potential and clear measurable environmental, social and governance, or ESG, goals. This transaction marks VIR IV’s fourth investment, resulting in
Founded in 2002 in Vitoria de Santo Antao, Pernambuco, Verdfrut is a family-owned business with eighteen retail units within two states of the Northeast region of Brazil and a B2B DC operation. The Company started its activities in 1995, and by 2002 its founders opened the first F&V retail unit in Recife, the capital of Pernambuco. Over the last 19 years the business has been through significant expansion and currently has revenues of over R
From VIR IV’s investment contribution, we expect to fund the opening of new units in the Northeast region, expand the Company’s DC structure and invest in IT. Additionally, VIR IV’s investment seeks to create a positive impact in the Northeast region on Brazil, such as the expansion of Verdfrut’s actions related to economic stability among its small producers supply chain, by improving its partnership conditions and actively working for their operations development.
José Pano, partner and head of the VIR strategy for Vinci Partners, said, “We are excited to collaborate with Verdfrut’s founders and management team, supporting them in the expansion of a company with a proven and successful business model and predictable growth. The F&V Brazilian market has a relevant size, high-buying frequency, and had shown resilience over the years. The sector is influenced by several growth drivers, such as healthier consumption habits and the expansion of convenience/neighborhood stores and delivery services. With VIR’s investment, we will work to enhance the Company’s Impact and ESG practices, promoting opportunities of decent work, first employment in the least developed region of the country, and developing regional small suppliers.”
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.
Forward-Looking Statements
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USA Media Contact
Nick Lamplough / Kate Thompson / Katie Villany
Joele Frank, Wilkinson Brimmer Katcher
+1 (212) 355-4449
Brazil Media Contact
Danthi Comunicações
Carla Azevedo (carla@danthicomunicacoes.com.br)
+55 (21) 3114-0779
Investor Contact
ShareholderRelations@vincipartners.com
NY: +1 (646) 559-8040
RJ: +55 (21) 2159-6240.
1 Considering the exchange rate as of the signing date of the deal, of R$/US
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