Te Creemos Holding Announces Acquisition of FINCA Mexico
November 15, 2016 – Te Creemos Holding, S.A.P.I. de C.V., a Creation Investments portfolio company and the parent company of Te Creemos, S.A. de C.V. Sociedad Financiera Popular, has announced the acquisition of 100% of the shares of Financiera FINCA, S.A.P.I. de C.V., SOFOM, ENR (“FINCA Mexico”).
Creation Investments worked alongside the founding shareholders of Te Creemos Holding as well as Mexico Development Partners and its manager PC Capital Management, S.C. to lead a follow-on investment in Te Creemos Holding to finance the acquisition of FINCA Mexico, a microfinance institution with over 67 branches in 20 different states of Mexico and a loan portfolio of more than $680 million pesos. The acquisition will allow Te Creemos to grow over 50% in terms of revenues and loan portfolio and position itself as the second largest microfinance institution focused on working capital loans in the country, with over 240,000 clients nationwide.
Te Creemos and its subsidiaries have been operating since 2005, providing comprehensive financial services to underserved communities in Mexico. In its 11 years of operation, the company has served over one million customers with savings, insurance, and credit products. With the acquisition of FINCA Mexico, Te Creemos now has a consolidated loan portfolio of approximately $2.0 billion pesos and its footprint reaches 23 states of Mexico with a total of 227 branches.
“We are excited to have worked closely with the Te Creemos management team and shareholders to complete this landmark transaction,” said Bryan T. Wagner, Creation Investments Partner and Board Member of Te Creemos Holding.
Jorge Kleinberg, CEO of Te Creemos, added, “We are pleased to announce the acquisition of FINCA Mexico, one of the pioneers of microfinance in Mexico. The transaction represents an opportunity to consolidate our leadership position in the Mexican market and realize substantial synergies in 2017 and beyond.”
About Creation Investments Capital Management
Creation Investments Capital Management is a private equity firm focused on financial services in emerging markets. Based in Chicago, the firm currently manages 13 platform investments in financial institutions across Latin America, South Asia, Southeast Asia and Eastern Europe. Creation’s investors include leading institutional investors and family offices dedicated to achieving attractive financial returns and social impact.