Chu, Rodriguez Form Social Enterprise VC Fund
Wednesday, September 5, 2007
Michael Chu, co-founder of Pegasus Capital, a South American private equity firm and Alv?ro Rodr?guez Arregu?, former CFO of restructured glass manufacturer Vitro have teamed up to launch Ignia. The venture capital firm is focused on investing in and developing commercial and socially inclusive enterprises for the lowest socio-economic sectors. Rodr?guez says the fund will concentrate its first phase of operations in Mexico, but hopes to expand into other LatAm nations, and eventually to other emerging markets. He says the fund is looking at opportunities in the real estate, health, distribution and agricultural sectors. Rodr?guez claims that despite the strong performance of business models specializing in the lower socio economic strata, private equity firms have largely overlooked the sectors. Chu is a former president and CEO of microfinance non-profit organization ACCION International and Rodr?guez is Acci?n?s current chairman. He is also on the board of Banco Compartamos, Latin America?s largest microfinancier. Uruguayan-born Chu has a long career in private equity, with Kohlberg Kravis Roberts in New York and as co-founder of Buenos-Aires based Pegasus Capital.