Australis Partners buys majority stake in Mexican Sekura
SEKURA CONTROLADORA S.A.P.I. DE C.V. (“Sekura”) announced that they entered into a definitive agreement with Australis Partners, an independent private equity firm focused on Latin America, under which Australis Partners acquired a majority stake in the company.
Founded in 1951, Sekura is a rapidly growing multiline insurance, surety and affinity brokerage firm serving more than 550 corporate clients throughout Mexico. As part of this transaction, Arpa Capital and non-executive shareholders exited from the ownership of Sekura.
“This alliance with Australis Partners is a landmark in Sekura’s history. It’s the next step in our success story to position Sekura as leader in the insurance, sureties and affinity market. Australis Partners’ leadership and experience in Latin America will further contribute to expand our customer base and improve corporate practices to create sustainable economic value for our shareholders. Finding a supporting partner who shares our values and vision is paramount for Sekura’s strategy and success.” said Gonzalo Mancera Corcuera, CEO of Sekura.
Financial terms of the transaction were not disclosed.
An Interview With Rafael Sámano, Partner at Samano Abogados, S.C.
What are your top concerns when legally advising a company that wants to acquire a majority stake?
A comprehensive and thorough Due Diligence is critical. A fundamental element for the success of any acquisition is the appropriate identification of the risk factors and challenges that the transaction presents going forward, for the acquirer to be able to adequately structure a business plan and correctly addressed these issues. In this respect, our work focuses on deep digging to unearth any reds flag which might present a material liability, as well as in mapping the underlying risks and items of attention of the deal.
How do you work through these concerns to ensure the move is a wise one for your client?
We act as a legal forensic expert. We approach the review of the information contained in the data room as pieces in a complex puzzle that need to be put together to view the whole picture. First, we strive to understand the business; then we map its critical elements; then its history and movements; and finally we look into its components. This methodology allows us to identify skewed and missing pieces.
When are independent investment firms ready to expand and acquire another company? How do you assist?
Investment firms search for returns on investment within the jurisdictions, sectors and markets in which they operate. There is always value to be found. We support those efforts by presenting them with the legal, regulatory and local risk factors which might weigh-in on their assessments. We also team up with other professionals, like tax & accounting firms, investment bankers, and financial advisors to coordinate efforts to reach a satisfactory conclusion of the deal (or not) within the timeframe and the proper negotiation scope, without stressing the business relationship.