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

UCG Investments has announced the first close of its latest private equity fund after a six-week fundraising period. The fund will target infrastructure and energy as well as agriculture, forestry and real estate – mainly in Uruguay, Peru and Colombia.

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.