News / MegaProject 805: Two bidders for Mexican Telecom PPP

MegaProject 805: Two bidders for Mexican Telecom PPP

🕔 October 28, 2016
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Mexico's Ministry of Communications and Transport (SCT) has received two bids to develop the "Red Compartida" telecom PPP project.  The teams are the following:

  • Consorcio Altan: Isla Guadalupe Investments, Marapendi Holding, Hansam, Corporación Financiera Internacional, CMF Investment Company LI B.V, Fideicomiso de Administración Número 2431, Fideicomiso Irrevocable de Emisión de Certificados Bursátiles denominado Fflatam-15-2, Mega Cable, y Axtel.
  • The consortium formed by Rivada Networks and Spectrum Frontier LP.

As we reported in late July, the Mexican Government extended the deadline for the Red compartida PPP project. The initial deadline for private developers to submit its proposals for the telecom concession was on August 8, but it was extended to October 20 as some tenderers requested more time to arrange the financing and other aspects of the project.

Bank of América Merrill Lynch, who is acting as financial advisor for the (SCT), also recommended this modification in the schedule of the tender process in order to raise the quality of private proposals. The project is scheduled to be awarded by mid November.

The project includes design, installation, deployment, operation, maintenance and updating of the Shared Network and Wholesale Telecom Service. The private developer will be responsible for implementing a new telecom system including the optimization of the assigned spectrum (700 MHz band). The total budget for the project is estimated around US$7 billions.

The project aims to increase the telecommunication services coverage in the country, enhancing the quality of the services and promoting competitive prices for the costumers. 

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