SIGMA SAFI Infrastructure Investments in Peru

Transcripción

1 SIGMA SAFI Infrastructure Investments in Peru Gonzalo de las Casas May 2011 Copyright 2010 Sigma - SAFI

2 Peru, Infrastructure Diagnosis 2

3 PBI per cápita (US$ Miles) PBI per cápita (US$ Miles) PBI per cápita (US$ Miles) Peru lagging in Infrastructure vs peers Chile PBI per cápita e Infraestructura (Latinoamérica) Brazil Mexico Argentina Colombia Venezuela PBI per cápita e Infraestructura en Electricidad y Telefonía (Latinoamérica ) Chile Brazil Colombia Argentina Mexico Venezuela Perú Ecuador Paraguay Bolivia Ranking Infraestructura en Electricidad y Telefonía Peru Ecuador Bolivia Paraguay Ranking Infraestructura PBI per cápita e Infraestructura en Transporte (Latinoamérica ) Chile Mexico Brazil Peru Argentina Colombia Ecuador Venezuela Paraguay Bolivia Ranking Infraestructura en Transporte 3

4 Peru lagging in Infrastructure vs peers Infrastructure gap in LA 1/ Sector Brecha 2008 (Millones US$) % Chile 2.08 Uruguay 2.48 El Salvador 2.64 Brasil 2.75 Guatemala 2.87 México 3.03 Argentina 3.14 Colombia 3.18 Perú 3.30 Bolivia / The Rep. Global Competitiveness Report Venezuela 3.95 Transportes 13, Aeropuertos 571 Puertos 3,600 Ferrocarriles 2,415 Redes Víales 7,375 Saneamiento 6, Agua potable 2,667 Alcantarillado 2,101 Tratamiento de Aguas Residuales 1,538 Electricidad 8, Generación 5,183 Transmisión 1,072 Cobertura 2,071 Gas Natural 3, Telecomunicaciones* 5, Telefonía Fija 1,344 Telefonía Móvil 4,102 Total 37,

5 Actions Taken 5

6 Creation of the PPP Framework In 2008 PPP law framework was approved, establishing: General provisions for the partnerships (PPPs) Clasification among PPPs between self-sustainable and cofinanced Limits and characteristics for government`s financial and not financial guarantees Local Private Pension Funds (AUM US$40bn) were authorized to invest in infrastructure projects Through specialized infrastructure funds Highly regulated investments 6

7 I-00 III-00 I-01 III-01 I-02 III-02 I-03 III-03 I-04 III-04 I-05 III-05 I-06 III-06 I-07 III-07 I-08 III-08 I-09 III-09 I-10 III-10 I-00 III-00 I-01 III-01 I-02 III-02 I-03 III-03 I-04 III-04 I-05 III-05 I-06 III-06 I-07 III-07 I-08 III-08 I-09 III-09 I-10 III-10 Increasing both Private & Public Investments Investment (% of GDP) Private Investment (Millones de Nuevos Soles de 1994) Public Investment (Millones de Nuevos Soles de 1994)

8 Private Pension Funds in Infrastructure 8

9 Infrastructure Fund Created in IQ 09 to replace the expected decline in private investments due to the international financial crisis. US$ 500 million: US$100million, Government US$100 million, Multilaterals US$300 million, Private Pension Funds Infrastructure Fund Structure 9

10 Infrastructure Investment Trust Self created by the local Private Pension Funds US$ 300 million, only for finacing (debt) infrastructure projects Infrastructure Trust Structure 10

11 Sigma Infrastructure Fund A new approach The Partnership possesses experience, expertise and network to successfully originate, invest, manage and divest Ample experience in both private and public sector is key SIGMA SAFI Know-how of fund administrative processes, including legal, regulatory, tax, etc.. In-depth experience in credit risk analysis and management Underwriting experience Strong relationship with infrastructure-related private entities across main economic sectors in Peru CONFIDENTIAL The Partnership Management Gonzalo de las Casas 16-years investment expertise Proven track-record of generating superior investment returns Solid analysis and valuation skills Prior exposure to infrastructure related projects 11 Luis Carranza s Group Public and private sector experience In-depth knowledge of public sector processes Vast solid network within government at all levels (central, regional, local) and private sector Global view of infrastructure strategy Experience evaluating and approving infrastructure projects

12 Sigma Infrastructure Fund Differentiating strategy Focus primarily on green-field projects Development stage Higher returns Upside potential Leverage relationships with infrastructure operators and public authorities Take advantage of deep knowledge of regional/local authorities infrastructure needs and potential projects Minority stakes with controlling/protection mechanisms Participate mainly in self-originated PPPs, private initiatives, and corporate private investments Create partnerships and/or strategic alliances with recognized global/regional developers, contractors, and operators who seek local capital, knowledge and expertise CONFIDENTIAL 12

13 Lessons Learned 13

14 Lessons Learned This APP process has just started. ºMost of the PPP projects are sponsored by constructors, posible misalignments ºLimited public capabilities for evaluating projects, learning curve ºBourocratic processes take longer than expected Both infrastructure investment pools had, so far, not reached market expectations The infrastructure fund has not done a single investment The infrastructure trust has financed 2 toll roads 14

15 Lessons Learned Infrastructure Trust Since all the local pension funds are inside, this trust is by far the largest financing agent in the local Capital Markets. It is perceived as a cartel. No competition at the auction. Just one big buyer. Infrastructure Fund Focusing on projects at or near the operational stage Aiming to to hold political control within the target investment vehicle Market has been a sellers market. Difficult to enter 15