Friday 27 November, 2020

Sygnus partners with Sagicor to launch US$100m private equity fund

L-r: Kevin Donaldson, CEO Sagicor Investments, Dr. Ike Johnson, Executive
 Vice President with responsibility for Private Equity & Real Estate, Sygnus and Berisford Grey, President & CEO Sygnus.

L-r: Kevin Donaldson, CEO Sagicor Investments, Dr. Ike Johnson, Executive Vice President with responsibility for Private Equity & Real Estate, Sygnus and Berisford Grey, President & CEO Sygnus.

Sygnus has partnered with Sagicor Investments to launch a US$100 million regional private equity fund called Sygnus Deneb.

This new private equity fund represents Sygnus’ third alternative investment company.

Sygnus Deneb Investments’ strategy is to focus on deploying capital along three investment stages of the private equity spectrum. These are growth capital, buyout capital and capital to facilitate turnarounds.

Sygnus, in a statement, said the new private equity fund will be targeting growth sectors across the region, such as energy, manufacturing, financial services, distribution and hospitality.

Dr Ike Johnson, Executive Vice President with responsibility for Private Equity and Real Estate at Sygnus, said: “Sygnus Deneb is a transformative financing vehicle that will provide equity capital to companies at the growth or mature stage of their business life cycle.”

He said through Sygnus Deneb, businesses will be able to unlock capital to drive expansion at a much faster rate. Companies partnering with Sygnus will also benefit from its deep financial expertise and expansive regional network.

What’s more, Sygnus is currently exploring opportunities in Jamaica, Bahamas, Dominican Republic, Trinidad and Tobago, and the Dutch Caribbean, which represents a pipeline in excess of US$120 million, Johnson said.

Anchored by Sagicor Investments, Sygnus Deneb is far advanced with its initial target raise of US$30 million, and has already successfully closed its first investment - the acquisition of a significant shareholding in Aruba Wine and Dine – a leading player in the Aruba hospitality industry, the company said.

Kevin Donaldson, CEO, Sagicor Investments lauded the new fund as an innovative financial solution that is beneficial to the region and its development.

“The creation of this fund represents another evolution in our local market. We must continue the momentum to ensure that this period of economic positivity will benefit the majority.

“Sagicor Investments sees this as another initiative through which we can support the region’s growth, as we seek to help individuals and corporate entities to create, grow and preserve their wealth.”

Sagicor Investments has been instrumental in partnering with Sygnus to develop the Sygnus Deneb platform and has shared a three-year history with the company including taking Sygnus Credit Investments to market and listing on the Jamaica Stock Exchange in 2018.

Together, the companies will be manage Sygnus Deneb to achieve its overall objectives and create sustainable shareholder value.

“Sygnus is committed to deepening the accessibility to capital in the Caribbean by developing a robust alternative investments ecosystem through which businesses can access private credit, private equity and real estate financing. We believe our vision will create shareholder value and contribute to accelerating the velocity of economic growth across the region,” stated President and CEO of Sygnus, Berisford Grey.

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