Bank of America and Initiative ...

News by SB Informer

News

Bank of America and Initiative for a Competitive Inner City Partner to Host Third 'Inner City Capital Connections' Event in Miami

SB Informer
Thursday, December 7, 2006; 02:05 AM

Banc of America Capital Access Funds, a division of Bank of America's private equity group and the Initiative for a Competitive Inner City (ICIC), a national, nonprofit economic development organization, hosted on Tuesday Inner City Capital Connections (ICCC) Miami 2006, the third in a series of events designed to stimulate private equity investment in inner city emerging markets by matching owners of inner city businesses with selected private equity investors. The previous ICCC events were held in Los Angeles (2005) and New York (Spring 2006).

"Investors are always seeking the highest ROI by scouring for opportunities that capitalize on market inefficiencies and yield above average returns. ICCC has shown that for smart ahead-of-the-curve investors the road less traveled leads directly to America's inner cities," said Manjari Raman, Senior Vice President of ICIC and director of the Inner City Economic Forum (ICEF). "In a very short time, ICCC has shown that inner city companies are not only ready for growth capital -- they are hungry for it and willing to do all that it takes to build strong sustainable businesses. A majority of the companies participating in ICCC call the experience 'transformational' and within months show a burst in size. For the first time, we are actually able to see the direct connection between access to capital and its energizing impact on entrepreneurship in the inner city. For private equity investors in the US, this opens up a whole new asset class for investments."

Over 30 investment-ready inner city companies were carefully selected to attend a day-long session of networking and educational seminars with over 20 private equity investors. The day includes presentations by top inner city companies; case studies on private equity/inner city company partnerships; a presentation and discussion on the impact of the ICCC events and interactive feedback from various private equity providers and a "speed dating" session designed to help make connections between the participating companies and private equity firms.

"The selected companies are well-managed, innovative businesses that compare favorably not only with their inner-city peers but with the best companies in the country and are very often overlooked," said Edward Powers, managing director, Banc of America Capital Access Funds. "By hosting the ICCC series of events, we hope to help bridge the gap between those companies and financial sponsors."

In 2005, more than $42MM was raised by inner city entrepreneurs who participated in previous ICCC events. In a survey of the participants, eighty- eight percent of the respondents now feel they know how to raise additional investment dollars and are able to reassess their business plans to restructure for growth. Among the businesses represented for ICCC Miami are a travel company specializing in cultural tourism; a communications provider for schools and school districts; a VoIP telecommunications carrier focusing on the Latin America and US Hispanic market; an importer and distributor of ethnic food products; a broadcasting company operating in the Florida region; a specialty provider of medical access and healthcare services (to inner city communities); a fashion clothing designer and manufacturer; a full service staffing firm; a producer, importer and distributor of tropical hardwoods; and a provider of child care and workforce development services to inner city communities.

"The companies participating in today's event offer attractive investment opportunities to financial sponsors, while making a significant impact on the communities they serve," said Rick Larson of SJF Ventures. "ICCC provides a valuable opportunity to nurture thriving businesses in an often overlooked, yet very important segment of the U.S. population."

About Banc of America Capital Access Funds

Banc of America Capital Access Funds (www.bacapitalaccessfunds.com), a division of Bank of America, is the country's leading private equity investor in underserved markets. Banc of America Capital Access Funds currently manages two fund-of-fund vehicles focused on underserved markets for the California Public Employees' Retirement System and the California State Teachers' Retirement System. With professionals located in Chicago, Los Angeles, St. Louis and Washington, D.C., Banc of America Capital Access Funds seeks to invest in a diverse set of private equity opportunities that can capitalize on rapidly growing or consolidating markets or that take advantage of leadership positions in more mature segments of underserved markets.

About Bank of America

Bank of America is one of the world's largest financial institutions, serving individual consumers, small and middle market businesses and large corporations with a full range of banking, investing, asset management and other financial and risk-management products and services. The company provides unmatched convenience in the United States, serving more than 55 million consumer and small business relationships with more than 5,700 retail banking offices, nearly 17,000 ATMs and award-winning online banking with more than 20 million active users. Bank of America is the No. 1 overall Small Business Administration (SBA) lender in the United States and the No. 1 SBA lender to minority-owned small businesses. The company serves clients in 175 countries and has relationships with 98 percent of the U.S. Fortune 500 companies and 80 percent of the Global Fortune 500. Bank of America Corporation stock (NYSE: BAC) is listed on the New York Stock Exchange.

About the Initiative for a Competitive Inner City

The Initiative for a Competitive Inner City (ICIC) (www.icic.org) is a national not-for- profit organization founded in 1994 by Harvard Business School professor Michael E. Porter. ICIC's mission is to promote economic prosperity in America's inner cities through private sector engagement that leads to jobs, income and wealth creation for local residents. ICIC brings together business and civic leaders to drive innovation and action, transform thinking and accelerate inner city business growth and investment.

About the ICIC's Inner City Economic Forum

Inner City Economic Forum (www.innercityeconomicforum.com) was founded by the Initiative for a Competitive Inner City (ICIC) as an ambitious and innovative effort to develop ideas and action plans that reduce economic inequality in America's inner cities. ICIC is a national not-for-profit organization founded in 1994 by Harvard Business School professor Michael E. Porter. ICIC's mission is to promote economic prosperity in America's inner cities through private sector engagement that leads to jobs, income and wealth creation for local residents. ICIC brings together business and civic leaders to drive innovation and action, transform thinking and accelerate inner city business growth and investment.