UCG’s LatAm fund raises $25m at first close

UCG Investments, the investment arm of Union Group, has announced the first close of Cypanga Latin American Opportunities, its latest private equity fund. It has reached $25 million after a six-week fundraising period from European institutions and family offices.

An open-ended fund, Cypanga will invest in greenfield projects and operating companies in the infrastructure, energy, agriculture, forestry and real estate sectors – primarily in Uruguay, Peru and Colombia.

“Our ability to launch a new fund in a challenging capital raising environment underlines the continuing appeal of the region as a prime investment destination,” said Francisco Roque de Pinho, chief executive of UCG Investments, in a statement.

UCG Investments – which has offices in London, Montevideo and Lima – manages a total of $750 million of real assets in Latin America. It is part of Union Group, a privately owned investment firm with a portfolio of businesses in agriculture, forestry, energy, infrastructure, minerals, oil & gas and real estate.

Since establishment in 2008, Union Group has sought to act as a platform for Western investment into high-growth Latin American economies characterised by under-developed natural resources and infrastructure sectors, a stable political environment and robust economic regulation.