ABOUT US

We are a small partnership focused on making investments in high growth companies across diverse sectors in Central America. Using our extensive experience in venture, private equity, and investment banking, we capitalize, build, and ultimately create a valuable business.

We partner with and invest in companies in Central America with the potential to become regional leaders in their respective sectors.

MARKET OPPORTUNITY

The Central America Thesis
Central America boasts characteristics that are very attractive for private equity investments in the region.

Favorable demographics

A large, growing, and young population creates a strong platform for consumer demand in the near future.

Continued economic growth

Resulting in an unmet demand for healthcare, IT, financial services, consumer goods, retail, logistics and telecommunications as GDP growth outpaces that of the United States.

Stable and favorable economic fundamentals

Including government commitments to reduce public debt, maintaining fiscal flexibility and establishing regulated financial systems in order to attract business investments and opportunities.

Private equity imbalance

Limited pool of independent investment partners with deep experience growing businesses, unlocking longterm value, implementing best practices in governance, and creating alignment of interest between founders and investors.

Investment Profile

Company profile suitable for investment

  • Based in Central America or the Dominican Republic
  • Companies seeking longterm partnership capital and advice
  • Is or can be the leader in their respective market
  • Potential for regional expansion
  • Looking for longterm liquidity and wealth creation

Investment sectors

  • Healthcare
  • Business services
  • Financial services
  • Light manufacturing
  • Information technology
  • Mobile communications
  • Consumer goods and services
  • Retail
  • Hospitality
  • Marketing
  • Logistics

Business characteristics

  • Proven operating models
  • Service orientation, recurring revenue, low capex
  • Cash flow positive or at or near cash flow breakeven
  • Experienced management teams
  • Clear exit opportunities
  • Revenues < US$ 15 million, assets < US$ 15 million, employee count < 300 people

Investment characteristics

  • Initial investment size of US$ 2 to 7 million
  • CoreCo majority economic control or minority holdings with majority rights
  • Pure equity or mezzanine financing (no traditional debt)
  • Compliance with Environmental and Social and Governance minimal standards
  • 5 to 7 year investment horizon

If you would like to provide an investment proposal, please view the requirements.

Portfolio

GRS

Distributor of home appliances and white goods with operations in Honduras, Guatemala, El Salvador and Nicaragua

Save-A-Lot

Guatemalan branch of the United States’ largest hard discount grocery chain, Save-A-Lot

SGSS

Costa Rican leader in automotive product sales and distribution to the trade

Urgencias Medicas

Provider of low-cost telemedicine and urgent care services to the Guatemalan market

MBMG

Multi-brand management of retail fashion, cosmetics, and accessories brand franchises

CPG

Manager and owner of marquee hospitality properties in Central America and the Caribbean

Roland

Packaging and distribution of heritage-brand peanuts and healthy snacks

Tegu

Vertically-integrated premium sustainable woodblock toy company with manufacturing operations in Honduras

Responsible Investing

We work with our partner companies in the implementation of ESG management systems as we believe measuring and building upon the sustainability and ethical impact of an investment leads to long-term value creation.

Environmental

  • To identify, evaluate and mitigate environmental risks and impacts
  • To optimize resource efficiency and promote a sustainable supply chain
  • To prevent pollution and overall impact on climate change

Social

  • To ensure positive and safe labor and working conditions
  • To increase the level of inclusion and broaden the talent pool through a diverse business community
  • To promote health, safety, and security for all stakeholders

Governance

  • To ensure honesty, integrity, fairness, diligence and respect in all business dealings
  • To lead the regional development of best practices in governance for the entrepreneurial and private equity ecosystem
  • To apply international best practices in relation to corporate governance

Our Team

Latest News

The impact investment strategies that helped make these funds among the ‘Best for the World’

B Lab’s annual list of top-ranked impact funds includes some you may not have heard of — yet.

Private-equity firm CoreCo has an investment thesis you’re not likely to read about in The Wall Street Journal. The $54 million fund spots high-growth businesses in Central America that operate with sustainable business practices.

CoreCo is among this year’s Best for the World funds named by nonprofit B Lab, based on an assessment of the impact of each company in a fund’s portfolio. More than 90 funds have now opted to have their portfolios independently measured and verified by B Lab’s GIIRS Impact Rating system, a rating system analogous to Morningstar.

Of those, B Lab identified 28 funds for their outperformance in social and environmental impact. B Lab has assessed more than 30,000 companies, enough to allow fund portfolios to be benchmarked and compared.

This year’s list recognized top performers in six categories: overall, environment, community, governance, workers and customers. The list includes many funds familiar to those who have followed impact investing in recent years, such as Leapfrog Investments, Village Capital, Deutsche Bank and Vox Capital (see the full list here). Here are five others with distinct impact strategies that helped them stand out.

Capitalizing sustainable Central American growth businesses. A young and growing population, GDP-growth outpacing that of the U.S., relative stability and lack of private capital for good businesses make Central America an attractive region for private equity. The $54 million CoreCo Private Equity’s Central America Fund I made B Lab’s list of Best for Environment Funds. CoreCo, founded in 2012, has offices in Guatemala, Costa Rica and the U.S. The regional fund makes growth equity investments across a wide range of sectors in Guatemala, Belize, Honduras, El Salvador, Nicaragua, Costa Rica, Panama, and Dominican Republic. In 2016, the firm backed GRS, a Honduras-based firm that commercializes household appliances in Guatemala, El Salvador, Honduras and Nicaragua. CoreCo’s Central America fund, which is backed by the Multilateral Investment Fund and private investors, says it works with portfolio companies to improve sustainability and ethical impact to create long-term value.

Working capital for Mexican small and mid-sized businesses. In Mexico, only 2.5% of small businesses receive institutional financing. PC Capital is a Mexico City-based private equity firm that wants to close that gap. Its first fund, Mexico Development Fund I, makes working capital investments of $1 million to $10 million in small and mid-sized businesses targeting the food, sustainable food and energy, financial services and education industries in Mexico. PC Capital was recognized in B Lab’s list of Best for Community Funds. Like CoreCo, the fund is backed by development banks such as IDB’s Multilateral Investment Fund as well as family offices and funds of funds. It’s nine investments include Universidad International, an education institution that provides traditional and technical degrees, and Te Creemos, a Mexican microfinance institution. PC Capital has a real estate fund in the works, partner Pablo Cervantes told Acquisition International.

Expanding financial services in India. The India Financial Inclusion Fund, the second from Caspian Capital Partners, raised $89 million and made 12 equity investments in banking institutions providing finance for affordable housing and services to the unbanked. Like other firms with roots in microfinance, Caspian’s strategy has evolved with the growth of the market. Caspian has launched Caspian Impact Investments to offer debt to fast-growing early-stage impact enterprises in food and agriculture, financial inclusion, housing, healthcare and clean energy. Caspian made B Lab’s 2017 lists for governance, workers, community and customers. Its fourth fund, the Caspian SME Impact Fund, launched last year, will invest equity in small and mid-sized Indian companies focused on basic services for the under-served, opening new producer markets and financial services for micro-enterprises.

Seeding early-stage social ventures in the U.S. The SustainVC Patient Capital Collaborative (PCC) series of funds began in 2007 to offer professionally-managed funds for impact investor network Investors’ Circle. The five funds, launched every other year, have raised $12 million in total, and have expanded to included non-Investor Circle limited partners. SustainVC, with offices in Boston, Durham and Philadelphia, has provided seed and early-stage venture investments to 32 U.S. companies with a focus on clean energy and sustainable agriculture, equality and empowerment, and health and education. The funds have exited four companies including Palo Alto-based Goalbook, an education platform to help special-ed teachers design lesson plans, and New Jersey-based Locus Energy, a solar monitoring and data analytics platform. SustainVC’s PCC 13, its 2013 vintage fund, was recognized by B Lab for its impact business model.

De-commoditizing commodities. The Netherlands-based investment fund Annona Sustainable Investments 1 finds companies in Africa and Latin America with sustainable and profitable business models in tourism, and food and agriculture. The small fund was founded in 2009 by Dutch pension fund SPF Beheer and development institute, KIT. Annona’s portfolio includes Gold Coast Fruits, a Ghanaian agribusiness that produces and commercializes fresh pineapple for export, and Asilia, a Kenyan travel company with 18 camps and lodges in natural habitats in Tanzania and Kenya. It was recognized by B Lab as one of the top-three overall funds for operating impact, and also for environment and governance performance.

https://news.impactalpha.com/the-impact-investment-strategies-that-helped-make-these-funds-among-the-best-for-the-world-400384c83ba0

Media inquiries:
Daniel Grew
CoreCo Private Equity
+506 2239 0391
daniel.grew@corecoholding.com

CoreCo Private Equity announces investment in GRS

San Pedro Sula, Honduras. – June XX, 2016 – CoreCo Private Equity, the private equity fund targeting investments in Central America and the Dominican Republic, has announced an investment in GRS, a Honduras-based company that commercializes white goods in Guatemala, El Salvador, Honduras and Nicaragua. CoreCo’s investment will be used to fund inventory, capacity expansion, and development of new products in GRS.

Read More

Come and Work with Us

Guatemala

  • 10 Calle 7-60 Z.9
    Guatemala City, Guatemala
  • +502 2229-1324
  • +1 305 704-3344

Costa Rica

  • Centro Comercial Plaza Koros, 2do Piso, Local 13, Santa Ana Centro, Calle 5 y Avenida 3, Costa Rica
  • + 506 2239-0391
  • +1 212 796-5626

Miami

  • 2121 S.W. 3rd Ave, Suite 200
    Miami, FL 33129
  • +1 305 704 3344
  • +1 305 704 3334

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