IFC, a member of the World Bank Group, has invested $50 million in the Credit Suisse Mexico Credit Opportunities Trust, a fund that helps boost financing for local companies and deepen capital markets in Mexico. Credit Suisse, through its asset management business, several Mexican pension funds, and other investors, have collectively invested almost $500 million in the trust, bringing the total capital committed to approximately $550 million.
IFC, a member of the World Bank Group, has invested $50 million in the Credit Suisse Mexico Credit Opportunities Trust, a fund that helps bolster financing for local companies and deepen capital markets in Mexico.
Credit Suisse, through its Asset Management business, several Mexican pension funds, and other investors, have collectively invested almost $500 million in the trust, bringing the total capital committed to approximately $550 million. The trust, established in November 2012, consists of Certificados de Capital de Desarrollo, or “CKDs,” a special type of security created by the Mexican government to facilitate funding to Mexican companies. This is IFC’s first investment in the trust.
Bob Jain, Head of Alternative Investments in Credit Suisse’s Asset Management business said: “This transaction marks one of the first times a global international investor has participated in the CKD market. This type of funding is critical to help Mexican companies expand and thrive in an environment where access to capital often can be challenging.”
Paolo Martelli, IFC’s Director of Financial Markets for Africa, Latin America, and the Caribbean, said: “As fund manager of the trust, Credit Suisse brings global knowledge and expertise and the ability to mobilize domestic institutional investors to help Mexican firms obtain financing through local capital markets. It’s great to see this type of competitive funding being made available to growing Mexican companies that are in need of financing. We hope to replicate this transaction in other emerging markets.”
The investment is part of IFC’s overall capital-markets strategy to help mobilize local institutional investors and deepen capital markets—with the aim of fostering economic growth in countries where access to capital is constrained. Though Mexico has a stable economic environment and continues to experience growth, many companies still have limited access to finance through local financial institutions.
IFC, a member of the World Bank Group, is the largest global development institution focused exclusively on the private sector. We help developing countries achieve sustainable growth by financing investment, mobilizing capital in international financial markets, and providing advisory services to businesses and governments. In FY12, our investments reached an all-time high of more than $20 billion, leveraging the power of the private sector to create jobs, spark innovation, and tackle the world’s most pressing development challenges. For more information, visit www.ifc.org.
About Credit Suisse AG
Credit Suisse AG is one of the world’s leading financial services providers and is part of the Credit Suisse group of companies (referred to here as ‘Credit Suisse’). As an integrated bank, Credit Suisse is able to offer clients its expertise in the areas of private banking, investment banking and asset management from a single source. Credit Suisse provides specialist advisory services, comprehensive solutions and innovative products to companies, institutional clients and high net worth private clients worldwide, and also to retail clients in Switzerland. Credit Suisse is headquartered in Zurich and operates in over 50 countries worldwide. The group employs approximately 46,900 people. The registered shares (CSGN) of Credit Suisse’s parent company, Credit Suisse Group AG, are listed in Switzerland and, in the form of American Depositary Shares (CS), in New York. Further information about Credit Suisse can be found at www.credit-suisse.com.