Mexico in Brief
From Mexico in Brief Newsletter
GRUPO IDEALSA TO ESTABLISH IN CHIAPAS.
Guatemala-based edible oil producer Grupo Idealsa will be the first company to establish in the Special Economic Zone (ZEE) of the Mexican State of Chiapas, with an investment of approximately U.S.$70 million for the construction of two edible oil refineries.
CAPITAL INDIGO TO FINANCE COMPANIES.
Capital Indigo, private equity and venture capital firm, will finance medium-sized companies with resources from investors in the Mexican Stock Exchange (BIVA) with approximately U.S.$125 million. Between 15 and 20 companies are expected to be capitalized by the firm within the next two and a half years from the funds raised from institutional investors.
BBVA BANCOMER ISSUES GREEN BOND.
Mexican financial institution BBVA Bancomer placed its first “green bond” for approximately U.S.$175 million. The proceeds will be used for three wind projects, green-certified buildings (“Leadership in Energy and Environmental Design - Leed”) and solar parks.
PEMEX PLACES U.S.$2 BILLION IN BONDS.
Mexican State-owned hydrocarbons’ company, Petroleos Mexicanos (or Pemex) completed the placement of a bond in the international markets to fund investment and refinance debt, raising approximately U.S.$2 billion. The bonds have a ten-year maturity. HSBC, JPMorgan Chase, Scotiabank and UBS co-arranged the placement, which was oversubscribed 5.9 times.
RELATED GROUP TO INVEST IN MONTERREY, MEXICO.
U.S.-based developer of sophisticated metropolitan living, Related Group, will invest approximately between U.S.$100 and U.S.$150 million in the development of a luxury condominium complex in Monterrey, which will be developed in partnership with the Mexican real estate developer U-calli.
OXXO ARRIVES TO PERU.
Mexican convenience stores’ chain OXXO, wholly owned by the beverage company FEMSA, started operations in Peru and is set to open 30 stores in the next two years, competing with Peru-based Tambo+.
ARCA BUYS ADDITIONAL STAKE IN LINDLEY.
Arca Continental, the Mexican beverage manufacturing and distribution company, announced the acquisition of 223.8 million common shares of Peru-based Corporacion Lindley for approximately U.S.$507 million.
AMERICA MOVIL TO INVEST IN THE DOMINICAN REPUBLIC.
Mexican telecommunications’ giant America Movil will invest approximately U.S.$50 million during the next three years in the Dominican Republic to sustain growth and prepare for the challenges of technological evolution towards 5G.
ZAMA REPORTS APPROXIMATELY U.S.$150 MILLION IN ROYALTIES.
Even without producing a single barrel, Zama, the shallow water oil field located off the coast of Tabasco, already contributes approximately U.S.$150 million a year to this Mexican State. The consortium formed by the British Premier Oil, U.S.-based Talos Energy and Mexican Sierra Oil & Gas is entitled to the Zama rights and will contribute 180 thousand barrels per day of crude when it reaches its production peak.
PEMEX ANNOUNCES OIL DISCOVERY IN SHALLOW WATERS.
Mexican state-owned Pemex announced that it has discovered oil in the shallow waters of the Gulf of Mexico, which could contain as much as 180 million barrels of crude equivalent. We analyzed for Latin American Advisor what these discoveries might mean for Mexico’s oil and gas sector, what could Pemex do to ensure it takes full advantage of the new found reserves, and how might international players benefit from the new finds. Read our comments here.