NEW YORK, April 14 /PRNewswire/ -- More than 100 decision makers from
public and private companies and investment firms from across the U.S., Latin
America and Spain attended the first conference to discuss growth
opportunities for investors in strategic sectors of the U.S. Hispanic market.
Held on April 12 in New York City, "The U.S. Hispanic Market Opportunity:
Reality or Fiction?" was co-sponsored and moderated by investment bank Samuel
A. Ramirez & Co., the law firm of Chadbourne & Parke LLP, Zemi Communications
and AMLA Consulting.
Roel Campos, SEC commissioner and a prominent figure in the U.S. Hispanic
community, was the keynote speaker at the conference. Campos highlighted the
importance of creating a coalition of public and private advocacy groups in
order to further the social and economic development of the Hispanic
community. Additionally, he commented on the potential for large foundations
and pension plans to increase their investments in the Hispanic market,
particularly in inner-city and underserved communities.
The conference featured speakers from Hispanic public companies including
Jeffrey Hinson, CFO of Univision Communications, Inc. (UVN); Richard Barrios,
SVP and Corporate Treasurer, Banco Popular (BPOP); and Guillermo "Bill" Bron,
Chairman of United Panam Financial Corp. (UPFC). J. Marc Lewis of MasTec,
Inc. (MTZ) was another key participant in the event.
The conference also attracted leading U.S. Hispanic private companies. Al
Cabrera, Chairman of Heartland Food Corp., Ernesto E. Armenteros, Executive
Vice President of Quisqueyana Holdings, and Tom Castro, President of Border
Media Partners, were among the high profile speakers. Other renowned U.S.
Hispanic entrepreneurs who participated at the conference include Carlos X.
Montoya, CEO of AztecAmerica Financial Group, and Napoleon Barragan, CEO of
1-800-MATTRESS.
Key conclusions of the conference included the following:
* The consensus seems to be that there are substantial opportunities for
private equity investors in the U.S. Hispanic market. However, in
order to be successful in this market, investors should consider three
critical factors: 1) Understanding the different sub-segments within
the U.S. Hispanic market; 2) having a well developed network of
contacts in the U.S. Hispanic entrepreneurial community, and 3)
realizing that it is the best partnership, and not necessarily the
highest economic offer, that makes a successful transaction. Ramirez &
Co. was recognized as the only investment bank on Wall Street with a
team exclusively focused on the U.S. Hispanic market, offering
financial advice in areas such as private and public financings, and
mergers & acquisitions, as well as providing research, and asset and
wealth management services.
* The common perception is that there are no exit strategies for private
equity investors in the U.S. Hispanic market. Bill Bron from Bastion
II, Victor Maruri from Hispania Capital Partners and Joseph DaGrosa,
Jr. from Core Value Partners agreed that exit strategies do exist, such
as strategic mergers or acquisitions by domestic and Latin American
buyers and other large financial investors. Although not necessarily a
full exit strategy, companies also have the option of going public as
they reach critical mass, as is the case of Molina Healthcare, Inc.
(MOH), currently in the Ramirez Hispanic Index, and United Panam
Financial Corp., which is covered by Ramirez & Co.'s Equity Research
Group.
* According to Jay C. Garcia, Managing Director and Head of the U.S.
Hispanic Group at Ramirez & Co., stocks of U.S. Hispanic companies are
outperforming the overall stock market. The Ramirez & Co. Hispanic
Index (RCHI), a benchmark created by the firm to measure the
performance of publicly-traded Hispanic companies in the U.S., has
risen 155% since inception. In 2004 alone, the index rose 24%, compared
to 3% for the Dow Jones Industrial Average, 9% for the S&P 500, 9% for
Nasdaq and 17% for the Russell 2000. Garcia emphasized that revenues of
U.S. Hispanic companies are increasing at an annual average of 20%,
three times faster than the rest of corporate America.
* There is an "opportunity gap" between Hispanic consumers' substantial
and expanding purchasing power and how they are served by the market,
according to Juan Solana of HispanTelligence, the research arm of
Hispanic Business, Inc. Consequently, investors can leverage this
potential for Hispanic market growth in the prime sectors of media,
automotive, real estate and financial services.
About Samuel A. Ramirez & Company, Inc.
Samuel A. Ramirez & Co., Inc (Ramirez) is a full service securities firm
serving the investment needs of individuals, business owners, institutional
investors and government agencies. Founded in 1971, Ramirez is the oldest and
largest Hispanic owned investment bank in the U.S. The firm offers
professional services focusing on wealth management, underwriting, banking,
M&A/strategic business consulting, institutional brokerage, research and asset
management. Ramirez provides retail and institutional trading expertise in
tax-free municipal bonds, equities, government bonds, corporate bonds and
alternative investments. The firm's main office is located in New York with
branch offices in Chicago, Houston, Los Angeles, Miami, Oakland, San Antonio,
and San Juan, Puerto Rico.
SOURCE Ramirez & Co.
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Related links:
http://www.ramirezco.com
CONTACT:
Michelle Manoff of Rubenstein PR,
+1-212-843-8051, mmanoff@rubensteinpr.com; or Jay C. Garcia of
Samuel A. Ramirez & Co., Inc., +1-212-248-3894,
jc.garcia@ramirezco.com
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