Swiss Investment Fund
for Emerging Markets

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Darby Latin America Fund IV

The climate focused, current income fund provides long-term senior secured loans to mid-cap companies primarily in Colombia, Peru, Ecuador, and Brazil.

Darby Latin America Fund IV

The climate focused, current income fund provides long-term senior secured loans to mid-cap companies primarily in Colombia, Peru, Ecuador, and Brazil.

Investment strategy

The fund provides much needed long-term financing to mid-caps in Latin America primarily in the infrastructure & logistics, agribusiness, manufacturing, and renewable energy sectors.

Development Rationale

As mid-cap enterprises in Latin Amercia continue to have great difficulty accessing credit, the fund helps to close a financing gap and contributes to economic growth and resilience. The fund’s primary impact focus is on climate: it contributes to the availability of affordable and reliable energy services and increased capacity of grid-installed renewable energy.

Investment Rationale

The fund contributes to job creation and climate mitigation in some of SIFEM’s priority countries. As a first close investor, SIFEM is a catalytic investor for the fund to reach its target size and directly mobilizes additional (already committed) private and public capital. Furthermore, it provides continued support to an existing partner with a solid track-record.

Contribution to strategic objectives

  • Climate mitigation/adaptation: yes
  • Job creation: yes
  • Priority countries: Colombia, Peru

Additionality

  • Sustainability Additionality: applies responsible investment policy and pursues a climate goal.
  • Financial Additionality: upporting an existing partner, contributing to first close and mobilization of additional private and public capital
Reference code
2023-07
Status
Committed
Date of commmitment
December 2023
Date of exit
-
SIFEM commitment
USD
15,000,000
Asset class
None
Investment strategy
Investment through Fund

Target countries

Brazil
Colombia
Ecuador
Peru