Published by Latin Lawyer at Semptember 23, 2022.
Brazilian investors Itaúsa and Votorantim have acquire a stake in local infrastructure group CCR from conglomerate Andrade Gutierrez for 4.1 billion reais (US$760 million).
Azevedo Sette Advogados advised the seller.
The transaction closed on 19 September.
Through the deal, Andrade Gutierrez divested its entire 14.9% stake in CCR – one of Brazil’s largest infrastructure groups – to the local investors.
Itaúsa, the private wealth arm of Brazilian bank Itaú, took a 10.33% stake in CCR, paying around 2.9 billion reais (US$564 million) to Andrade Gutierrez.
Votorantim, which already held a 5.8% stake in CCR prior to the transaction, acquired Andrade Gutierrez’s remaining 4.5% interest in the target business for 1.2 billion reais (US$233 million).
Votorantim now also controls a 10.33% stake in CCR.
Following the deal, Itaúsa and Votorantim have consolidated their position as shareholders of the company, with a combined 20.7% interest. Itaúsa and Votorantim sit alongside Brazilian conglomerate Grupo Mover and construction business Soares Penido, as the main shareholders of CCR. Those companies own stakes of around 15% each. After entering CCR’s business with the investment, Itaúsa will now appoint two directors to CCR’s management board.
The remaining 49% of CCR’s shares are listed on Brazil’s Novo Mercado stock exchange.
Andrade Gutierez will use the proceeds of the sale to reduce its debt pile by around 3.5 billion reais (US$680 million).
CCR is Brazil’s largest toll road operator, while it also manages underground rail networks, sea transport and airports, among other infrastructure works. CCR’s motorway network stretches across the southern states of São Paulo, Rio de Janeiro and Paraná. Earlier this year, the company raised 3.4 billion reais (US$657 million) to fund infrastructure investments at different airports that it currently operates through concessions.
Headquartered in Belo Horizonte, Andrade Gutierrez is one of the largest construction companies in Latin America with operations in over 40 countries worldwide. Its business in Brazil covers urban mobility, energy, telecommunications, sanitation and health, among other things.
Partners Luis Ricardo Miraglia, Frederico Bopp Dieterich and Bruna Bouissou, and associate Bruno Vianna Espirito Santo.