JPMorgan Chase’s Brazilian private-equity arm is set to close its fifth fund with at least US$1 billion in commitments.
Gávea Investimentos will hold a final close on the fund by the end of this month, The New York Times reports. The vehicle is expected to garner between US$1 billion and US$1.2 billion.
Gávea is closing the fund following a difficult year for Brazilian p.e. and venture capital firms, which raised 35% less in 2013 than in 2012. All told, the industry garnered just US$2.4 billion last year—less than the combined size of Gávea’s new fund and a US$1.5 billion fund being raised by Patria Investments.
Still, Gávea is settling for less both than its fourth fund raised—US$1.9 billion in 2011—and the US$1.5 billion it had targeted last June. It also took longer to raise less; a source familiar with the fundraising told the Times that “it was a harder sell.”
JPMorgan bought Gávea in 2010.