EI backs Estapar

Sam Zell-founded investment firm Equity International has agreed to provide R$400 million to Estapar Estacionamentos. Based in Brazil, Estapar is a parking infrastructure and services operator. The deal is expected to be completed by the fourth quarter of this year.

PRESS RELEASE

CHICAGO & SÃO PAULO–(BUSINESS WIRE)–Equity International (“EI”), the investment firm founded by Sam Zell that focuses on emerging markets, has agreed to invest R$400 million in Estapar Estacionamentos, the largest parking infrastructure and services operator in Brazil. The transaction is expected to close by the fourth quarter of this year.

“Estapar continues to pursue its objective of transitioning from a parking services company into a full-solution parking and urban-mobility infrastructure company,” said Estapar’s Chief Executive Officer Andre Lasi. “EI’s investment will enable us to continue to broaden our portfolio to include parking infrastructure in airports, arenas, concessions and private long-term contracts. We offer attractive solutions for traditional infrastructure players, municipalities and owners of captive parking facilities.”

EI, which will take a seat on Estapar’s board of directors when the transaction closes, adds to the company’s strong institutional ownership, joining BTG Pactual, Bozano Investimentos and Templeton Emerging Markets. This is the third institutional capital raise for Estapar.

“Urban mobility and related infrastructure are important to Brazil’s economy,” commented Tom Heneghan, Chief Executive Officer of EI. “Estapar’s existing size, scalable platform, seasoned management team, sophisticated technology and attractive pipeline make Estapar a unique investment opportunity.”

Since BTG Pactual’s investment in Estapar in 2009, the company has grown parking units and spaces under management from 195 and 110,000, to 1,000 and over 360,000, respectively. Estapar estimates full-year 2016 consolidated revenues of over R$1 billion, representing a CAGR above 30% since 2009. The company has a mature pipeline greater than R$1.5 billion in investments through 2018.

“EI’s investment endorses the investment thesis of Estapar and strengthens the company’s position as the primary strategic platform in a highly attractive segment of the Brazilian economy,” said Marcelo Hallack, Board Member of Estapar and Managing Partner of BTG Pactual Private Equity. “There is embedded demand in this sector, which we believe will provide continued growth opportunities for the foreseeable future.”

Edwyn Neves, also Board Member of Estapar and a partner of BTG Pactual in its Private Equity group added, “EI brings global expertise and a long-term view to the shareholder base, both important attributes that we strongly value in Estapar’s continuing evolution.”

Brian Finerty, EI’s Chief Investment Officer and future Board Member of Estapar concluded by saying, “This investment is a great example of the type of transaction we look for – a savvy ownership and management group that values EI’s sponsorship and ability to help develop institutional-quality companies.”

About Estapar
Founded in 1981, Estapar is a leader in Latin America’s parking and urban mobility segment, managing over 1,000 parking lots in 75 municipalities and 17 states. The operation has over 360,000 parking spaces under management, serving 15 million vehicles on a monthly basis. In the off-street segment (paid parking on public roads), Estapar is the concessionaire in 19 cities, managing 30,000 parking spots. Headquartered in São Paulo, Estapar employs over 8,500 employees. Web: www.estapar.com.br

About BTG Pactual
BTG Pactual (BOVESPA: BBTG11) is an innovative global financial company that operates in the markets of Investment Banking, Corporate Lending, Sales & Trading, Wealth Management and Asset Management. Since its inception, in 1983, BTG Pactual has been run as a partnership and currently has 198 partners, 4,859 employees and net equity of R$23.2 billion. BTG Pactual has offices in 20 countries and is headquartered in São Paulo, Brazil. Web: www.btgpactual.com

About Equity International
Equity International (EI), founded by Sam Zell in 1999, invests in real estate and infrastructure platforms in the emerging markets. EI’s investment and value go beyond its capital by providing its portfolio companies with: institutional credibility, exceptional corporate governance, best practices, a unique operating perspective, and access to a powerful global network. EI employs an active ownership approach, partnering with portfolio company leadership to achieve strategic growth and industry leadership. As a result, EI is recognized as a partner of choice around the world. Web: http://www.equityinternational.com