Vinci Partners Impact and Return Strategy Announces Investment in DM Card | News


RIO DE JANEIRO, Brazil, Feb. 21 Aug. 2022 (GLOBE NEWSWIRE) — Vinci Partners Investments Ltd. (NASDAQ:VINP) (“Vinci Partners”, “we”, “us” or “our”), the controlling company of a leading alternative investment platform in Brazil, today announced that “Vinci Impacto e Retorno IV”, or “VIR IV” (“the Fund”), the Impact family of funds managed by the Private Equity strategy of Vinci Partners, has reached an agreement to invest an investment round of R$100 million for the acquisition of a minority stake in DM Card (“DM” or “the Company”), a fintech focused on lending to low-income populations and one of the leading issuers of Private Label cards to retailers in Brazil.

VIR IV has a unique strategy in Brazil, with a dual mandate to generate favorable market returns as well as impact, through the acquisition of minority stakes in small and medium-sized Brazilian companies, which present growth potential and clear and measurable environmental, social and social measures. governance or ESG objectives. This transaction marks VIR IV’s fifth investment, resulting in a gross allocation of 43.7% of the Fund’s billion reais in total capital commitments.

DM Card was founded in 2002, focusing on Private Label Credit Cards. Today, the company holds an extensive geographical footprint, being present in 14 states in Brazil and partnerships with more than 1,100 small and medium retailers in +2,300 stores across the country.

From the investment contribution of VIR IV, we hope to support DM Card to amplify its impact and become the financial services company of choice for the low-income classes, being a benchmark in credit and productive microcredit for entrepreneurs, offering simple, adapted and accessible solutions, promoting customer diversity, providing financial education and contributing to economic development.

José Pano, Partner and Head of VIR Strategy for Vinci Partners, said: “We are delighted to partner with DM, a company with extensive expertise in credit for low-income clients which translates into a proven business model. and profitable and predictable expansion. . We believe there is an opportunity for the Company to develop new products and channels as well as become a digital-focused, omnichannel provider with a customer relationship-centric model. VIR’s investment creates positive impact aligned with the Fund’s impact strategy, such as promoting financial inclusion for low-income people and developing specific credit programs aimed at education, renovation home and health.

About Vinci Partners Private Equity

Vinci Partners’ Private Equity strategy has an industry-neutral approach focused on growth equity investments in Brazil. The main strategic axis is the creation of value by driving the growth of revenues, productivity and profitability through significant operational and management changes in portfolio companies. The private equity strategy invests through two sub-strategies: Vinci Capital Partners, which focuses on control and co-control investments, and Vinci Impact and Return, which focuses on minority investments in small and medium-sized companies. companies with a dual ESG impact generation mandate. as well as market returns.

About Vinci Partners

Vinci Partners is a leading alternative investment platform in Brazil, established in 2009. Vinci Partners’ business segments include private equity, public equity, real estate, credit, infrastructure, hedge funds and investment products and solutions, each managed by dedicated investment teams with an independent investment committee and decision-making process. We also have a financial advisory business, focusing primarily on pre-initial public offerings, or pre-IPOs, and mergers and acquisitions, or M&A, advisory services for Brazilian middle-market companies.

Forward-looking statements

This press release contains forward-looking statements which can be identified by the use of words such as “anticipate”, “believe”, “could”, “expect”, “should”, “plan”, “have the ‘intent to’, ‘estimate’ and ‘potential’, among others. By their nature, forward-looking statements are necessarily subject to a high degree of uncertainty and involve known and unknown risks, uncertainties, assumptions and other factors because they relate to events and depend on circumstances that occur in the future, whether or not outside our control. These factors may cause actual results, performance or developments to differ materially from those expressed or implied by such forward-looking statements and there can be no assurance that such forward-looking statements will prove to be accurate. The forward-looking statements included herein speak only as of the date of this press release and we undertake no obligation to update such forward-looking statements. Past performance does not guarantee or predict future performance. Further, neither we nor our affiliates, officers, employees and agents assume any obligation to review, update or confirm expectations or estimates or to issue revisions to any forward-looking statements to reflect future events. occur or circumstances that arise in connection with the content. of this press release. Further information about these and other factors that could affect our financial results is included in the documents we have filed and will file with the United States Securities and Exchange Commission from time to time.

Contact with the media in the United States

Nick Lamplough / Kate Thompson / Katie Villany Joele Frank, Wilkinson Brimmer Katcher +1 (212) 355-4449

Media Contact Brazil

Danthi Comunicações Carla Azevedo ([email protected]) +55 (21) 3114-0779

Contact Investor

[email protected] NY: +1 (646) 559-8040 RJ: +55 (21) 2159-6240

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