HispanicBusiness

Besides the lack of data, Ms. Zeidman cites another factor that makes Hispanic companies look risky: few personal relationships with financiers. "Minority businesses often do not know venture capitalists or ways to penetrate the private equity community," according to the MBDA report.

Ms. Zeidman notes that Milken and other organizations are addressing the data problems, and the new funds specialize in building those crucial human relationships. Mr. Rodriguez of Palladium concurs, predicting that "we will see an increased number of successful Hispanic market equity transactions in the future."

CAPITAL MARKETS

Bastion Capital II
Target Fund Size: $300 million
Target Deal Size: $20 million–$50 million per transaction Hispanic
Investments: Although Bastion II is still raising funds, Acon-Bastion is making investments in the U.S. Hispanic market through a Special Purpose Investment Vehicle. ACON's recent Hispanic investments are in ImpreMedia and Radiovisa.
Leading Principals: Guillermo Bron and ACON Investment partners

Central Valley Fund
Target Fund Size: $80 million with $100
million more by early first quarter 2006.
Focus: Growing California Central Valley firms with at least $5 million in revenues and $1 million in cash flow.
Target Deal Size: $2 million–$5 million per transaction
Hispanic Investments: N/A
Leading Principal: José Blanco

Clarity Partners LP
Capital Commitments: N/A
Focus: Exclusively on investments in communications, media, and related services and technologies within those sectors.
Target Deal Size: $25 million–$200 million per transaction
Hispanic Investments: ImpreMedia LLC
Leading Principals: Dr. David Lee, Barry Porter, Stephen Rader, and R. Rudolph Reinfrank

The Carlyle Group
Total Funds: $14.9 billion (aggregates all global funds)
Focus: Sectors in which the company has demonstrated expertise: aerospace and defense, automotive and transportation, consumer and retail, energy and power, healthcare, industrial, real estate, technology and business services, and telecommunications and media.
Target Deal Size: Minimum $4 million for venture funding, $10 million for mezzanine. Revenues of more than $50 million for buyout.
Hispanic Investments: Uni Boring Inc. (Hispanic-owned), Hispanic Teleservices Corp.
Leading Principals: William E. Conway Jr., Daniel A. D'Aniello, and David M. Rubenstein

Darby-BBVA Latin America Private Equity Fund (DBVA)
Fund Size: $175 million
Target Deal Size: $15 million–$40 million
Hispanic Investments: Border Media Partners
Leading Principals: Julio Lastres and Jaime Salinas Solano

Hispania Capital Partners
Capital Under Management: $125 million
Target Deal Size: $5 million–$10 million per transaction; SBIC focusing on Hispanic-owned and U.S. Hispanic market companies
Hispanic Investments: PrensAmerica Corp. (publisher of La Raza; investment realized), CSA Group, Samy Companies, Hispanic Yellow Pages of America Inc.
Leading Principals: Victor Maruri, Carlos Signoret, and Amador Bustos

Ibero American Investors Corp.
Focus: Ibero American Investors seeks to provide capital to any small business provided that they meet size standards as defined by the Small Business Administration.
Target Deal Size: $50,000 to $500,000
Hispanic Investments: EIC Electronics
Leading Principal: Domingo Garcia, CEO

Nexos Private Equity Growth Fund
Target Fund Size: $225 million
Target Deal Size: $10 million–$25 million transactions focusing on Hispanic-owned companies. Enterprise values in the range of $25 million to $75 million; corporate revenues typically range from $15 million to $100 million.
Leading Principals: John McIntire y Salazar, Eduardo Bohorquez, Joseph Vadapalas, and Justo Frias

Nogales Investors – Fund I
Fund Size: $99 million
Target Deal Size: $5 million–$20 million transaction; Hispanic-owned or managed companies.
Hispanic Investments: Graphic Press (Hispanic-owned)
Leading Principal: Luis G. Nogales

Palladium III
Target Fund Size: $500 million
Target Deal Size: $15 million–$50 million per transaction, focusing on the Hispanic market and Hispanic-owned companies.
Hispanic Investments: N/A
Principals: Marcos Rodriquez, David Perez,
Alex Ventosa, and Peter Joseph

Pinto America Growth Fund, LP
Target Fund Size: $75 million
Target Deal Size: $5 million–$10 million per transaction; Hispanic market companies in the U.S. Southwest
Hispanic Investments: Meximerica Media
Leading Principals: Rodrigo Amaré, Richard Vaughan, and Guido Caranti

RC Fontis
Target Fund Size: $150 million
Target Deal Size: $5 million–$10 million per transaction; U.S. Hispanic market opportunities in the U.S. Southwest
Hispanic Investments: Meximerica Media
Leading Principals: Daniel Villanueva Sr. and Daniel Villanueva Jr.

Vestar Capital Partners
Total Funds: $14 billion (aggregates all global funds)
Hispanic Investments: Border Media Partners, Valor Telecommunications
Leading Principals: Federico F. Peña, Daniel O' Connell, and James P. Kelley

Source: HispanTelligence®