The Carlyle Mexico Buyout team invests in private and publicly owned high growth businesses, opportunistic restructurings and NAFTA companies in Carlyle's core industries.
Launched in 2003, Carlyle Mexico Partners is one of only a handful of private equity funds that focuses on Mexico, while offering the benefits and synergies of Carlyle’s global operation. The exclusive Mexican advisor to Carlyle is Capital Advisors, S.C., which is owned by the Mexican team and is headed by Joaquin Avila, who has extensive experience in the international business community.
Carlyle Mexico Partners invests in established companies, works to make them better and exits the investments through a sale or a flotation on a public exchange.
Local Team: Capital Advisors, S.C. is staffed exclusively by Mexican nationals. Each member of the Carlyle Mexico Partners investment team has extensive local knowledge and is sensitive to local culture and business practices, which fosters deal sourcing and provides early access to attractive transactions.
Window of Opportunity: Smart capital allows small and medium size companies to reach critical mass and become attractive to strategic investors.
- As the Mexican economy integrates with the U.S economy, some large Mexican companies have been acquired by strategic investors.
- However, small and medium size companies require capital for growth in the domestic and export markets.
- Smart private equity, with credit support from banks, provides resources for these small to medium size companies to grow.
- Once a certain size is achieved, these local companies become attractive to strategic buyers.
Target Industries: Carlyle Mexico invests opportunistically, which allows it to explore all types of transactions. Areas of particular interest include: Automotive & transportation, industrial, consumer, telecommunications & media, healthcare and business services. Further, the Mexico team works closely with Carlyle colleagues around the world who have in-depth knowledge of specific industries. We believe this improves deal sourcing and due diligence, helps develop strong relationships with management teams and identifies potential buyers as part of a coherent exit strategy.
Targeted Businesses: Carlyle Mexico invests in private and publicly owned, high growth businesses; fragmented industries; opportunistic operating and financial restructurings (liquidity requirements in solvent entities; solid underlying operations; conglomerates divesting); NAFTA companies (cross-border opportunities, co-investing with other Carlyle funds; broad North American focus).
Investment Criteria: Using its own Mexico-dedicated fund, Carlyle Mexico targets companies with equity needs of $20-$50 million -- larger deals will be structured with other Carlyle LBO funds; majority control; outstanding management (incumbent or readily available); clear growth opportunities; and a tangible and sustainable competitive advantage.
Value-Added Partner: Carlyle Mexico investment professionals work closely with portfolio companies, utilizing deep industry expertise to implement effective operational and marketing strategies.