Carlyle raising first Mexico fund

The Carlyle Group is in the process of raising Carlyle Mexico Partners, which will invest in Mexican and US companies with a Hispanic customer base.

According to a filing on the International Finance Corp. (IFC) website, a Washington-based division of the World Bank Group, Carlyle Mexico Partners LP has a target size of $120 million (€102 million) and will target medium and large companies for “buyout and other private equity opportunities in Mexico and in US companies that have a significant Hispanic customer base or cross-border initiatives”.

The fund is expected to make five to eight investments of between $20 million and $50 million, acquiring controlling or significant minority stakes.

The IFC has a proposed commitment to the fund of $20 million in equity, up to a maximum of 19 percent of the total fund size, according to the website.

Carlyle made its debut investment in Mexico in late September, buying a majority stake in Universidad Latinoamericana SC (ULA), a private Mexican university, for an undisclosed sum.

Previously, Carlyle had indirectly invested in Mexico in July 2004 when it acquired Loews Cineplex Entertainment Corporation through its $3.9 billion 2000 vintage Carlyle Partners III fund.

Carlyle opened an office in Mexico City at the end of 2003.

According to Carlyle, the Washington-based firm has offices in 14 countries and manages a total of $30.9 billion in commitments across 32 funds.