January 17, 2014
Infrastructure financing is no longer a game just for bank lenders. Increasingly, bond investors have been showing an interest in such risk.
Red de Carreteras de Occidente, a network of Mexican toll roads, picked up on that trend when it needed to raise cash in early 2013.
The company’s revenues are in Mexican pesos, so it made sense to structure a transaction in the currency even though such an instrument had not been sold under a 144A/RegS format before.
“RCO is not a common blue chip company like Televisa or América Móvil, so for us, issuing in pesos long term was very successful,” Jorge Parra, the firm’s chief financial officer told LatinFinance. “It’s a project bond, one of the ha
Project bonds and local currency debt have each drawn growing appetite from investors. But to combine the two deal types was unprecedented in Mexico