PE Makes Colombian Oil Investment

Private Equity firms Capital International and Acon Investments have jointly acquired control of Vetra Energia, a privately-held Colombian oil producer, they say, from Spain’s Inveravante and minority holders. The two don’t disclose the price paid for Vetra, which produced more than 6,100 barrels-per-day in 1H 2013. It has 18m barrels in proven reserves and expects to reach 25m-30m, according to a person familiar with the company. The pair takes 85% of Vetra, with a group of minority investors lowering their stake from 25% to 15%, according to a person familiar with the deal. This group includes some of the company management, which is to stay in place. The funds come from the $3bn EM-focused Capital International Private Equity Fund VI and from the $173m Acon Latin America Opportunities Fund, as well as significant equity commitments from co-investors. Vetra has operations in Colombia, Peru and Mexico. Spanish investment firm Inveravante keeps its stake in Monclova Pirineo Gas, which operates in Mexico and was spun off from Vetra. The selling shareholders were advised by Horizon Capital and Cuatrecasas Gonzalves Pereira. Officials from the buyers declined to provide additional comment or did not return requests for comment.