Publish in Special Reports - Wednesday, October 30, 2013
Skadden advised the underwriters in Mexican brewer Femsa’s $1 billion placement of two tranches of U.S. dollar-denominated bonds. (Photo: Femsa)
Skadden advised the initial purchasers in a $1 billion offering of senior notes by Pacific Rubiales Energy Corp. (Photo: Pacific Rubiales)
Growing interest in Mexico, Colombia and Peru – as well as continued business in Brazil -- help Skadden’s Latin America practice.
BY JOACHIM BAMRUD
“While there are still critical questions to be answered -- concerning tax regime revisions and structuring of unbundled markets, among others -- we do anticipate that the Energy Reform will increase and broaden the level of global interest in investing in the Mexican energy sector that we have already witnessed the past two years," says partner Lance Brasher.
However, he emphasizes that we are only at the beginning of a months-long political and legislative process that will shape Peña Nieto's proposed energy reform and the critical secondary laws that will define the new investment opportunities in the sector.
Counsel Jorge Kamine also reports growing interest based on the reforms: "While we are still at the very early stages of seeing clients make specific investment decisions based on the anticipated new investment opportunities related to the reform, over the past two years, we have seen clients, including energy companies, financial institutions, and private equity investors, actively pursuing investment and lending opportunities in Mexico's energy sector as a result of the country's generally attractive investment climate and we would expect that to continue, if not increase, as the details of the reform come into focus," he says.
Already, there is an increased deal flow associated with investments by the private sector in assets that will serve the oil & gas industry, points out ...
Keywords: Brazil, Chile, Colombia, Mexico, Peru