MEXICO CITY, June 20, 2013 (GLOBE NEWSWIRE) -- Empresas ICA, S.A.B. de C.V. (BMV:ICA) and (NYSE:ICA), the largest infrastructure and construction company in Mexico, announced the signing of a definitive agreement to sell its 18.7% stake in Red de Carreteras de Occidente, S.A.B. de C.V. (RCO), the concessionaire for approximately 760 km of highways in Mexico to funds managed by Goldman Sachs.
ICA expects to receive Ps. 5,073 million for its investment and to continue operating the highways. The transaction completes an asset recycling process initiated in 2012.
The transaction is subject to customary closing conditions and approval by the Ministry of Communications and Transportation and the Federal Competition Commission.
Alonso Quintana, ICA's CEO, said, "The sale of ICA's investment in RCO is a clear example of our strategy of selective recycling of capital in our asset portfolio and creating value for ICA's shareholders. The proceeds are expected to be used to pay short-term corporate debt that was used to accelerate the completion of projects, as well as to complete funding the equity commitments for the new concessioned projects. We are significantly strengthening our financial position."
Conference Call Invitation
ICA management will hold a conference call today, Thursday June 20, at 11:00 am Eastern Time (10:00 am Mexico City time) to provide additional information and background regarding this announcement. To participate, please dial toll-free 855-370-4217 from the U.S. or +1-559-549-9841 internationally. The conference ID is 99406679. A replay will be available until June 27, 2013 by calling toll-free 855-859-2056 from the U.S. or +1-404-537-3406 internationally, again using conference ID 99406679.
Empresas ICA, S.A.B. de C.V. is Mexico's largest construction and infrastructure operations company. Founded in 1947, ICA's principal lines of business are civil and industrial construction and engineering; infrastructure operations, including airports, toll roads, and water systems; and homebuilding. For more information visit www.ica.com.mx/ir.
This press release may contain projections or other forward-looking statements related to ICA that reflect ICA's current expectations or beliefs concerning future events. Such forward-looking statements are subject to various risks and uncertainties and may differ materially from actual results or events due to important factors such as changes in general economic, business or political or other conditions in Mexico, Latin America or elsewhere, changes in capital markets in general that may affect policies or attitudes towards lending to Mexico or Mexican companies, changes in tax and other laws affecting ICA's businesses, increased costs, unanticipated increases in financing and other costs or the inability to obtain additional debt or equity financing on attractive terms and other factors set forth in ICA's most recent filing on Form 20-F and in any filing or submission ICA has made with the SEC subsequent to its most recent filing on Form 20-F. All forward-looking statements are based on information available to ICA on the date hereof, and ICA assumes no obligation to update such statements.
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Source:Empresas ICA, S.A.B. de C.V.