The Brazilian Graveyard and Death Care Fund (CARE11) led by Zion Invest secured a significant concession deal to manage public cemeteries in São Paulo, enhancing its market position in the growing death care sector.

Target Information

The target of this deal is the Brazilian Graveyard and Death Care Fund (CARE11), managed by Zion Invest. This real estate investment fund has recently made significant market moves, leading the IFIX index, which tracks the performance of real estate funds listed on the Brazilian stock exchange. On Tuesday, October 26, CARE11 experienced a notable increase of 10.4% following a successful bid by the Cortel Group, a key asset in its portfolio, which won a concession to manage 22 public cemeteries in São Paulo.

The consortium led by Cortel acquired Block II for R$ 200 million, providing a premium of R$ 30 million on the winning bid. The 25-year concession encompasses the management of six cemeteries and includes the provision of funeral services, requiring the winning consortium to make ongoing investments throughout the concession period.

Industry Overview in Brazil

The death care industry in Brazil has been steadily evolving, driven by increasing demand for professional management of funeral and cemetery services. This sector has seen a transition fr