Washington, D.C., January 26, 2012—IFC,
a member of the World Bank Group, and the IFC African, Latin America and
Caribbean Fund are investing $200 million to support Grupo SURA’s expansion
strategy in Latin America and help stimulate savings and pension management
in low- to middle- income households in the region.
The equity investment in the newly created Grupo de Inversiones Suramericana
Espana S.L., which acquired ING Group’s regional platform of pension fund
management and insurance companies in Chile, Colombia, Mexico, Peru, and
Uruguay, includes $125 million from IFC and $75 million from the IFC ALAC
Fund. The IFC ALAC Fund is managed by IFC Asset Management Company.
With this acquisition, Grupo SURA will become the largest pension fund
manager in Latin America. By fostering the creation of a leading Latin
American pension network, IFC will promote the stimulation of savings and
pensions management systems and help the region expand its middle class.
Giri Jadeja, IFC Senior Manager for Financial Markets in Latin America
and the Caribbean, said: "This investment is in line with IFC’s strategy
in Latin America and demonstrates our commitment to support private sector,
strengthening the presence of an important local player at the regional
level and promoting the development of the pension management industry
in Latin America."
Pension funds are often the only link to the formal financial sector and
play a leading role in driving the development of capital markets, and
making long-term capital available for infrastructure, ultimately fostering
economic growth and job creation.
Sujoy Bose, head of the IFC ALAC Fund, said: “We are pleased to partner
with Grupo SURA on this significant acquisition, which makes Grupo SURA
the leading regional platform in Latin America's under-penetrated pension
management sector. We are excited by the potential of this platform to
expand its product offerings to its current base of 10 million customers,
and by its prospects to grow this customer base.”
Grupo SURA has been a strategic partner for IFC since 1996. By providing
equity to the company, IFC will help a local industry player provide leadership
in the sector across the region.
IFC, a member of the World Bank Group, is the largest global development
institution focused on the private sector in developing countries. IFC
creates opportunity for people to escape poverty and improve their lives
by providing financing to help businesses employ more people and supply
essential services, by mobilizing capital from others, and through the
delivery of advisory services to ensure sustainable development. In a time
of global economic uncertainty, IFC’s new investments climbed to a record
$19 billion in fiscal 2011. For more information, visit www.ifc.org.
About IFC Asset Management Company
IFC Asset Management Company LLC, a wholly-owned subsidiary of IFC, invests
third-party capital, enabling outside investors to benefit from IFC’s
expertise in achieving strong equity returns, as well as positive development
impact in the countries in which it invests. It manages the $3 billion
IFC Capitalization Fund, as well as the IFC ALAC Fund.
About the IFC African, Latin America and Caribbean Fund
The IFC ALAC Fund is a $1 billion fund that has commitments from six sovereign
and pension investors, as well as the IFC. The ALAC Fund was launched in
April 2010 and is focused on making equity and equity-related investments
in Africa, Latin America, and the Caribbean.
For more information about Grupo SURA, visit: www.gruposuramericana.com