CHICAGO--(BUSINESS WIRE)--Equity International (“EI”), the emerging markets-focused investment firm founded by Sam Zell, announced today that it has closed on its first investment in Brazil in four years. The R$400 million investment is in Estapar Estacionamentos, the largest parking infrastructure and services operator in Brazil.
“We waited four years to execute a new deal in Brazil,” said Tom Heneghan, EI’s Chief Executive Officer. “Now, we’re seeing an uptick in attractive investment opportunities with appropriate risk-adjusted pricing and terms. We have been and will continue to be patient in finding the right transactions and the right partners, but are increasingly optimistic about our pipeline.
“Given the current dislocation in the Brazilian market, our capital is in high demand and goes much further than at times when capital is flowing freely and when the currency was demonstrably more expensive,” Heneghan added. “Further, we like the long-term fundamentals in Brazil.”
EI’s growth capital will allow the company to continue its strong growth trajectory by taking advantage of an attractive pipeline of investment opportunities, representing more than R$1.5 billion in investments through 2018.
Brian Finerty, EI’s Chief Investor Officer, will assume a seat on Estapar’s board of directors, which includes BTG Pactual, Bozano Investimentos and Templeton Emerging Markets.
“We are thrilled to add the Equity International name to our shareholder group,” commented André Iasi, Chief Executive Officer of Estapar. “EI’s track record and reputation for transforming companies into institutional, world-class organizations is unparalleled in Brazil. We have ambitious growth plans and expect EI to be an integral part of achieving them.”
The Estapar closing comes on the heels of EI’s close on a US$205 million fund focused on Asian logistics real estate.
Finerty concluded, “EI’s investment will allow Estapar to consolidate its position as a dominant parking and urban mobility player in Brazil. We are pleased to have found great partners in the existing shareholder group and management team and look forward to supporting the continued growth of the business.”
About Estapar
Founded in 1981, Estapar is a leader in Latin America’s parking and urban mobility segment, managing over 1,000 parking lots in 75 municipalities and 17 states. The operation has over 360,000 parking spaces under management, serving 15 million vehicles on a monthly basis. In the off-street segment (paid parking on public roads), Estapar is the concessionaire in 19 cities, managing 30,000 parking spots. Headquartered in São Paulo, Estapar employs over 8,500 employees. Web: www.estapar.com.br
About Equity International
Equity International (EI), founded by Sam Zell in 1999, invests in real estate and infrastructure platforms in the emerging markets. EI’s investment and value go beyond its capital by providing its portfolio companies with: institutional credibility, exceptional corporate governance, best practices, a unique operating perspective, and access to a powerful global network. EI employs an active ownership approach, partnering with portfolio company leadership to achieve strategic growth and industry leadership. As a result, EI is recognized as a partner of choice around the world. Web: http://www.equityinternational.com
