Preqin’s Funds in Market product shows that there are currently 89 private equity funds seeking capital commitments with a geographical focus that includes South America. Thirty of these vehicles focus exclusively on the region. Collectively, these 30 funds are targeting an aggregate of approximately $11.2bn in investor capital; 21 vehicles make investments in Brazil including 17 funds which focus solely on the country.
Of these South America-focused funds, eight have already held at least one interim close, and aggregate commitments currently stand at $778mn. Infrastructure and real estate funds are targeting the largest amount of investor capital, with collective targets of $5.1bn and $2.4bn respectively. Twenty one funds are being raised by fund managers located in South America, with the majority (15) headquartered in Brazil.
The average target size of the funds focused exclusively on South America is $376mn and the largest fund is targeting $1.5bn. The largest three funds currently in market are BTG Pactual Brazil Infrastructure Fund II, Astra Infrastructure Fund, and Astra Natural Resources Fund, which are targeting $1.5bn, $1bn and $1bn respectively. All three funds target investments in Brazil, with the largest fund being raised by BTG Pactual also seeking opportunities throughout the rest of South America.
Since the beginning of 2011, 33 funds focused in the region have held a final close, of which 20 focused exclusively on South America. These 20 funds raised an average of $617mn in capital, and collected aggregate commitments of over $12.3bn.