LatAm PE and VC Raising up in 2011

LatAm private equity (PE) and venture capital fundraising hit $4.9bn in the first half of 2011, up 59% from the corresponding period in 2010, making it likely to top last year’s $8.1bn full-year total, according to the Latin America Venture Capital Association (LAVCA). Brazilian funds have accounted for 67% of the total so far this year. The funds realized 65 investments in the first half, on par with 2010, though deal value was down 30% to $2.7bn from $3.8bn. The first half of 2011 also saw 33 PE-backed exits to the tune of $8.9bn. LAVCA says its recent survey of limited partners shows a growing interest in the region. It finds 90% of the investors in its limited partner survey are “either allocating to funds in Latin America or doing due diligence,” up from 82%. Some 55% indicated they expect to increase their allocations to fund managers investing in the region over the next 12 months, with 68% planning increases in the next 36 months.