New CDVCA Website Coming Summer 2022
The $45 million Puerto Rico Fund for Growth (PRFG) invests in venture capital, private equity, and mezzanine debt funds that invest in and lend to Puerto Rican growth businesses, creating superior financial returns for our investors and economic growth, high-quality employment opportunities, and fund manager capacity in Puerto Rico. It may also invest up to 15% of committed capital directly in businesses. PRFG’s investors are the Puerto Rican disability insurance fund and the Puerto Rican automobile insurance fund.
PRFG has invested in a private equity fund specializing in the healthcare and business services industries, a growth equity agribusiness venture capital fund, a cash flow and equipment financing fund, an early-stage technology venture capital fund, and an SBA-licensed Specialized Small Business Investment Company, all of which are based in Puerto Rico and are managed by Puerto Ricans.
CDVCA is an activist investor: we heavily negotiate all our investment agreements and are represented on the investor advisory committees of every fund in which we have invested.
We monitor the investment progress of our funds closely and are gathering detailed social impact data, including over 115 data points regarding job creation and job quality, which we are sharing with the Federal Reserve Bank of New York.
Semillero Ventures LLC is an investment manager focused on early and growth stage companies in the food, beverage, agribusiness, and agricultural technology industries. We invest throughout the value chain and combine capital with collaborative support and specialized management, distribution, operations, food safety, marketing, and logistics expertise.
Lift Fund (Acrecent Financial Corporation)
The Lift Puerto Rico Business Impact Fund (Lift Fund) aims to help stabilize businesses post Hurricane Maria, thereby saving jobs, stimulating employment, and stemming outward migration from the island. The Lift Fund will co-invest in loans originated by Acrecent Financial Corporation, an organization that provides timely access to capital to small and medium sized enterprises (SMEs) in Puerto Rico. Acrecent has consistently made credit accessible to local SMEs since its founding in 2004, despite a global financial crisis, a protracted economic recession in Puerto Rico, the ongoing Puerto Rico government debt-restructuring, and hurricanes Irma and Maria. Acrecent’s customers provide much-needed services to the population of Puerto Rico, including medical services, construction, education, and off-grid energy solutions.
Morro Ventures is an early-stage venture capital fund investing in tech companies across Puerto Rico, Latin America, and the US. The Fund leverages Puerto Rico’s unique position – geographically, culturally, politically, and linguistically – to bridge the LatAm and US tech markets, providing a platform through which startups can “soft-land” and test both American and Latin markets before expanding cross-border. Working closely with the local company accelerator, Parallel18, Morro Ventures educates companies on the benefits of growing Puerto Rican operations and promotes local entrepreneurship and innovation.
MoonSail Capital is a private equity firm with offices in Los Angeles and San Juan. MoonSail invests in well-positioned, privately-held companies in the United States and Puerto Rico.
We provide both equity and debt to lower middle market businesses for growth, acquisitions, recapitalization, or management buyouts. This can take the form of equity (preferred or common) or debt (convertible, mezzanine, 2nd lien, or unitranche) depending on the needs of the business. Our goal is to truly partner with management teams, providing not just capital but also strategic advice and operational tools that take companies to the next level.
In some cases MoonSail will control the firm’s Board, but in other cases majority control will stay with the founder. We target Lower Middle Market firms with growth potential and generally less than $10 million of EBITDA. Sectors of interest include healthcare services, business services, financial services, and consumer.
MoonSail is led by a team of seasoned investors that have executed over 20 buyout transactions across numerous verticals. The team has a proven ability to add value to companies and create positive outcomes for stakeholders.
Bluhaus Small Business Fund
Led by a team of Puerto Rico-based investment professionals, Bluhaus Small Business Fund, L.P. (“BSBF”), is a Small Business Investment Company established to make debt and equity investments in businesses operating predominantly in Puerto Rico.
The Fund invests primarily in senior and mezzanine debt following a generalist approach, but with emphasis on industries and businesses that have proven to be resilient under the recessionary conditions that have prevailed in Puerto Rico. The Fund will provide flexible capital, which is not readily available in the market, to local businesses that are looking to expand, consolidate and/or are undergoing a change of control. Furthermore, the Fund will also focus on businesses benefiting from the reconstruction efforts on the island, which require additional capital to fund their expanding balance sheet and working capital needs.
Parliament Capital Management
Parliament Credit Opportunities Fund LLC Managed by Parliament Capital Management (PCM), the Fund invests in direct lending and other credit opportunities in Puerto Rico and key US Hispanic markets. It is the company’s second institutional direct lending fund, and like its predecessor, it seeks to generate income from its investments primarily in senior financings to small and medium sized businesses across Puerto Rico and key Hispanic markets in the US. The Fund seeks diversification across industries and provides investors exposure to an uncorrelated asset class. Founded in 2009, PCM is a minority-owned asset manager and registered investment advisor led by an executive team of seasoned investment and credit management professionals. The firm focuses on opportunistic investments in the credit markets and, to a lesser extent, Private Equity.