Actis Invests US$58 Million in Supermarket Chain Companhia Sulamericana de Distribuição in Inaugural Brazilian Investment

By Actis Llp, PRNE
Thursday, September 2, 2010

SÃO PAULO, Brazil, September 3, 2010 - Actis, the global emerging markets private equity specialist,
has invested US$58m in Companhia Sulamericana de Distribuição ('CSD'), the
operator of Brazilian supermarket chains São Francisco and Cidade Canção. CSD
is one of the three major supermarket retailers in Paraná state, and is among
the top 25 supermarket operators in Brazil. The investment marks Actis's
first Brazilian investment to date.

With the new capital injection, CSD will implement an
expansion plan based on the opening of new stores in the states of Paraná,
and Mato Grosso do Sul. Actis will hold a significant minority stake, working
in partnership with the founding families of São Francisco and Cidade Canção,
Nogaroli and Cardoso, who have successfully grown their businesses over the
last 30 years.

CSD Chairman, Jefferson Nogaroli said, "Actis's emerging
market focus, experience in the food retail sector, and long term investment
approach were essential factors in our decision to partner with them. Our
goal with this partnership is to drive CSD to the front line of innovation in
food retail in Brazil, offering the best to our customers, with new stores,
products and services."

The objective is to double CSD's store footprint over the next
three to five years. This accelerated growth is expected to create more than
3,000 new jobs in the region. Two new stores will be inaugurated by the end
of 2010 in the cities of Arapongas and Umuarama. CEO, Carlos Tavares Cardoso
commented, "Our current and future customers can now count on an even broader

of quality products and services, aligned with the concept of
modern retail adopted by Cidade Canção and São Francisco".

Paul Fletcher, Senior Partner at Actis, said, "Our investment
in CSD represents an important milestone for Actis and reflects our
commitment to the emerging market consumer story in Latin America. This is a
highly auspicious time for Brazil with rising income and increasing access to
credit; over 20 million Brazilians have entered the middle class over the
last 5 years."

Patrick Ledoux, co-head of Actis in Latin America, said, "The
story of the Nogaroli and Cardoso families is one of success and
entrepreneurship; our confidence in their management skills was fundamental
to our choice of CSD as Actis's first investment in Brazil." He adds that
Actis will actively assist CSD in this new phase of growth with its local
knowledge and deep experience in retail investments in other emerging

About Actis

Actis is a leading private equity investor in emerging markets
with a growing portfolio of investments in Asia, Africa and Latin America; it
currently has US$4.8bn funds under management. Actis has over 100 investment
professionals on the ground in 9 offices worldwide.

Actis is committed to promoting the sustainable growth of the
private sector in the emerging markets. Its aim is to ensure that the capital
it raises and manages makes a lasting, tangible and positive difference, by
creating opportunity both for the companies in which it invests, as well as
their stakeholders.

About Companhia Sulamericana de Distribuição (CSD)

CSD operates the supermarket chains Cidade Canção and São
Francisco. With headquarters in Maringá, Brazil, CSD has 28 stores in 11
cities in the states of Paraná and Mato Grosso do Sul. Jefferson Nogaroli is
CSD's chairman, and Carlos Tavares Cardoso is the Chief Executive Officer.

The states of Paraná and Mato Grosso do Sul are located in the
northern part of the south of Brazil: close to the states of São Paulo and
Santa Catarina, and also to Argentina and Paraguay.

    For further information please contact:

    São Paulo, Brazil:
    Vanessa Godoy
    Printec Comunicação

    London, UK:
    Claire Davies

For further information please contact: São Paulo, Brazil: Vanessa Godoy, Printec Comunicação, +55-11-5182-1806, vanessa.godoy at; London, UK: Claire Davies, Actis, +44-207-234-5115, cdavies at

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