MercoPress. South Atlantic News Agency

Singapore sovereign-wealth fund increasing investments in Brazil and Mexico

Temasek Holdings, Singapore's sovereign-wealth fund, is increasing its exposure to Brazil and the rest of Latin America because of the region's strong long-term growth prospects, the company said Thursday in a press release.

Temasek invested a total of 58 million Reais (28.6 million dollars) in two Brazilian companies in the fiscal year ended March 31, the release said.

“Temasek continues to increase its exposure to Brazil and other growing economies in Latin America,” said Matheus Villares, director of investments in Brazil. “We continue with a positive perspective for Brazil's growth potential and the potential of the region in the long term.”

According to Temasek, the fund invested 29 million Reais in Hidrovias do Brasil, a logistics company focusing on ports and shipping with operations in Brazil and Uruguay.

It also announced an increase of 29 million Reais in its investment in Brazilian biotechnology firm Amyris Biotechnologies.

But Temasek's largest Latin American investments were in the region's other giant, Mexico, where new investments totaled 226 million dollars.

In Mexico, the fund invested 100 million in Integradora de Servicios Petroleros Oro Negro, an offshore oil-services firm, and 127 million in Banco del Bajio, Mexico's eighth-largest bank.

The sovereign-wealth fund's net profit declined 16% to 8.5 billion dollars in the same fiscal year. The fund is seeking to increase its investments in energy and resources, but remains heavily exposed to banks. Temasek has a portfolio valued at 157 billion dollars.