Mexico City, April 2, 2019 – IGNIA (http://www.ignia.mx), completed the repayment of its debt with the Inter-American Development Bank (“IDB”) after the partial exit of IGNIA Fund I from its investment in Provive.
IGNIA´s partial exit and the subsequent repayment of its debt to the IDB took place after Provive closed a major debt transaction with a fund from an important international bank. Provive will use the funding to accelerate its growth and to substantially improve its capital structure by refinancing its existing debt.
IGNIA was Provive´s first investor, and has supported the company since 2011. To date, Provive has generated nearly $5,000 million pesos in value with the recovery of more than 8,500 homes, supporting 50,000 Mexican families in the cities from Tijuana, Mexicali, Ciudad Juárez and Hermosillo. Its program operates through the collaboration of Provive and Fundación Tu+Yo; the first is in charge of acquiring, rehabilitating and selling abandoned homes, while the Fundación Tu+Yo implements programs that promote education, organization and participation of community members to meet and solve their needs. Together, they have achieved the development of more prosperous, strong and active communities through improved access to housing and a better quality of life.
“Provive has proven to be a highly successful company in the field of urban regeneration of low-income communities. This is reflected, in part, in the excellent return that the Company has generated for investors like IGNIA, and confirms our investment thesis of supporting companies focused on the emerging middle class. We are confident that Provive will continue to grow and generate value for its shareholders, we continue to have an important equity stake in this venture. Additionally, we are excited that a world-class bank has joined us in this endeavor”, said Fabrice Serfati, Partner of IGNIA.
IGNIAis a venture capital firm that invests in high growth enterprises targeting the emerging middle class of Mexico. Founded in 2007, IGNIA has two funds with $200 million dollars under management. IGNIA invests in sectors such as fintech, financial services, e-commerce, software services, education and basic services. For more information please visit: http://www.ignia.mx and @IGNIA_Fund.
Provive is an organization founded in 2009 by José Antonio Diaz, an entrepreneur who detected the problems generated by the abandonment of housing in Tijuana, such as insecurity, delinquency and social backwardness. The organization is responsible for rehabilitating low-income housing that are under a high rate of abandonment and a marked social decomposition. For more information, please visit http://www.provive.mx.
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