Governor Valadares holds sanitation auction for R$ 285 million

2023-12-01 20:29:12

In an event held at B3, the São Paulo Stock Exchange, AEGEA won the concession for water supply and sewage services in Governador Valadares, in the Rio Doce region. The company presented a winning proposal of R$385 million, a premium of 726% over the reference value of R$46.6 million.

This tender, considered by the infrastructure market to be the largest in the country in 2023 in the sanitation area, attracted the attention of four competing groups. The concession project, lasting 30 years, was modeled by the Houer Group, foreseeing a total investment of R$1.3 billion. This investment proposes not only significant improvements in sanitation infrastructure, but also promises indirect benefits estimated at R$3.1 billion, covering crucial areas such as health, income, tourism, tax collection and real estate appreciation.

Camillo Fraga, commercial director of the Houer Group, commented on the impact of this project: “We are proud to lead the structuring of such a significant project. This is a milestone not only for Governador Valadares, but for the entire sanitation sector in Brazil. We believe that the implementation of this concession will bring substantial improvements to the population’s quality of life, in addition to boosting the region’s economic development.”

André Merlo, highlighting the importance of this auction for the city, declared: “This is a decisive moment for Governador Valadares. This concession ushers in a new era of advancement and prosperity. We are confident that this project will be a model for future sanitation initiatives across Brazil, bringing lasting benefits to our community and beyond.”

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The Competition documents, as well as additional information, can be consulted here.

The auction broadcast can be viewed in this link.

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