Darby Overseas Investments, the private equity arm of Franklin Templeton Investments, revealed that it has exited its Grupo Financiero Improsa investment, a Costa Rican financial services firm. Specifics on the deal were not publicized.
Washington, DC, September 4, 2012 – Darby Overseas Investments, Ltd. (“Darby”), the private equity arm of Franklin Templeton Investments, announced that its ProBanco I Fund divested its holding in Grupo Financiero Improsa (“Improsa”), a Costa Rican financial institution. The transaction terms are not disclosed.
The Darby ProBanco I Fund first invested in Improsa in 2000 to support its transition from a finance company to a full service bank. Improsa grew successfully specializing in the SME sector, and later became a financial services holding company through the creation of leasing, consumer lending, insurance brokerage, and broker/dealer subsidiaries. The constructive partnership with the founders of Improsa was further strengthened through a follow-on investment in 2004.
Julio Lastres, Darby’s Senior Managing Director for Latin America Private Equity, commented: “This transaction reinforces our track record in supporting middle-market companies with long-term growth capital in the region.”
Alejandro Schwedhelm, Managing Director responsible for Darby’s Financial Services Group commented: “Darby has invested in ten financial services companies in eight Latin American countries generating seven successful exits to date. Improsa represents the final exit for ProBanco I, a specialized financial sector fund. We continue to actively invest our second financial services private equity fund, Darby-ProBanco Fund II.”
Darby Overseas Investments, Ltd. was founded in 1994 by The Honorable Nicholas F. Brady, who served as U.S. Secretary of the Treasury between 1988 and 1993. Richard Frank joined the firm as CEO in 1997 after his career at the International Finance Corporation (IFC)/World Bank. In 2003, Darby became a fully owned subsidiary of Franklin Resources, Inc. [NYSE:BEN], a global investment management organization operating as Franklin Templeton Investments. For more information please visit darbyoverseas.com.
Franklin Templeton Investments provides global and domestic investment management solutions managed by its Franklin, Templeton, Mutual Series, Fiduciary Trust, Darby and Bissett investment teams. The San Mateo, CA-based company has more than 60 years of investment experience and over US$718 billion in assets under management as of July 31, 2012. For more information, please visit franklintempleton.com.