P R O S P ECT U S INFORMAT I ON FO R A D I T IONA L S T R AT EG IC INVES TOR S
|
E N E R M A S L ATA M
|
112
structural reform and Public Private Partnerships (PPPs) will originate important investment opportunities, which could be even greater than what the market has anticipated. ENERMAS LATINOAMÉRICA estimates that factors that will trigger investment opportunities are mainly in: I. Mexican Government Budgetary limitations, which force it to monetize assets,: Oil price has stressed liquidity in the State Productive Company, causing reactivate transactions of “asset exploitation” need to counteract existing gap between income and expenditure, which are necessary to support country economic growth. II. Strategic alliances with State owned Production Companies to improve their balance sheet and complement their execution capacity: Challenges and opportunities faced by State owned Production Companies, coupled with the need to maintain their credit rating, implies that it is convenient to develop new private sector participation forms and purchase and sale contracts structuring in consideration of International Accounting Standards. III. Existing Operating Companies Financial restructuring by means of: Derived from financial and operational problems in energy, environment and infrastructure sectors, Operating Companies financial restructurings have been initiated, generating asset acquisitions opportunities. IV. Implementing new business models value to take advantage on potential demand and achieve efficiencies, for which it is necessary to: implement a paradigm shift in the way business is conceptualized, in order to optimize results. V. Opportunities to maximize resource recovery factor and associated infrastructure and logistics improvement: Structural reforms provide necessary incentives to invest in energy, environmental and infrastructure assets. VI. Non-traditional financial products need for optimizing Capital structure, through this type of products use can respond to Investors’ needs adapting structure to cash flow generation and optimizing rhythm, with financial engineering for risk factors and scenarios probability. VII. New schemes to produce Clean Energy Certificates and generate value. These are the goals established by the Federal Government for clean energies participation in energy generation life cycle, which will trigger important investments in these technology types. Additionally, generators will benefit from the granting of Clean Energy Certificates that can be sold in the spot market to generate additional value. VIII. Opportunity cost of land to relocate infrastructure projects, with new Public Private Partnerships (PPP) rules allow that in assets relocation projects, they can take advantage of “Fundo Legal” land, which is owned by Governmental Authority as one of project components. IX. Competitive advantage of natural gas regional price and associated raw materials, with gas low cost associated with surplus production in the United States, generates investment opportunities in biogas generation, which in turn triggers opportunities in energy sector.
4.3 INVESTMENTS AND DISINVESTMENTS SCHEDULE. Except as specifically described below, Investments shall be performed during Investment Term. In accordance with such Investment Term, Private Equity Investment Fund as a Debt Instrument, once instructed by ENERMAS LATINOAMÉRICA as Manager must perform Investments before a period of 3 calendar months immediately following Initial Issuance Date,
