San Juan-based private equity firm Advent-Morro Equity Partners announced that the board of directors of Venture Capital Fund, Inc. declared a dividend of $250 per share to shareholders of record as of September 30, 2010.
Venture Capital Fund has over 13,500 shares outstanding which are held by over 100 shareholders. The dividend represents a return of over 33 percent to those shareholders that took the 25 percent investment tax credits upon purchasing the fund’s shares, and 25 percent to those shareholders who did not take the tax credits.
Venture Capital Fund was founded in 1989 and made its first $250,000 investment in Universal Containers Corp. based in Cidra, Puerto Rico in August of that year. It exited its first investment three years later with a return of 1.74 times the amount invested yielding an annualized return of over 21 percent.
Since then, Venture Capital Fund has provided capital for more than 35 companies based in Puerto Rico, many of which have grown to be leaders in their respective industries. Examples include: Islanet, Centennial Communications, Medical Card Systems and VISTA Ophthalmic Ambulatory Center at City View. Other names that also form part of Venture Capital Fund’s family of companies include: Hotel El Convento, Packers Provisions, ICPR Junior College, Abaco Mobile, Bayamón Steel, Integrated Technologies and InfoPáginas.
“Focusing on building successful local companies by working with management teams and providing advice to execute on growth opportunities has been a financially rewarding business model for Advent-Morro and the funds it manages” said Cyril Meduña, Advent-Morro’s president. “We are proud to be part of so many successful companies, generating economic activity, growth, and employment for people in Puerto Rico, while at the same time obtaining high returns for our investors.”