IFM Investors, an Australian pension fund, would delist Aleatica from the Mexican Stock Exchange (BMV), for which it will launch a public offer to buy 14.03% of the company’s outstanding capital stock.
“Subject to the successful launch and consummation of the potential Takeover Bid (OPA), should the necessary number of shares be acquired, IFM GIF intends to carry out the delisting of Aleatica’s shares from the BMV,” it was reported in a statement on October 4.
The notice caused strong movements in the stock price of the transport infrastructure operator in Mexico, which caused the suspension of Aleatica’s negotiations up to twice for exceeding the permitted ranges, as it rose to 33.89 pesos, almost double the price of the Tuesday closing.
Finally, the issuer closed the stock market session this Wednesday with a rebound of 85.29%, at 31.5 pesos per unit from the 17 pesos of the previous closing.
With the takeover bid that IFM Global Infrastructure Fund (IFM GIF) is preparing, through a subsidiary, it will seek to acquire 100% of the entire share capital of Aleatica.
Through the offer, 37 pesos will be paid for each share that the current minority shareholders decide to sell. This price represents a premium of 118% compared to the close of Tuesday, October 4, when the day ended at 17 pesos per unit.
If the volume-weighted average price is considered during the 30 days of trading in the market, prior to the close of October 4, the premium would be 123% and for the previous 90 days a yield of 122 percent would be paid.
For this operation, the Australian fund would disburse 8,900 million pesos, the equivalent of about 444 million dollars.
Aleatica, formerly known as OHL, said in a notice published in the BMV that the decision to buy 14.03% of its shares traded on the Stock Exchange is due to its low liquidity, since with this offer it will be giving greater value to its investors.
“In view of the relatively low liquidity of Aleatica’s shares, IFM Investors believes that the potential public offering represents significant value for Aleatica’s shareholders, as it presents them with the opportunity to sell all of their shares for cash at a premium over the market price,” the statement said.
Little seen on the stock market
Aleatica, which has the concession of seven toll highways in Mexico, including the Circuito Exterior Mexiquense and a 49% stake in the Toluca International Airport, was an issuer with low marketability in the Mexican stock market.
Now it is added to the list of companies that are delisting from the BMV. In recent months, Grupo Lala, Bachoco, Aeroméxico, Grupo Sanborn’s and Monex, began procedures to withdraw from the stock market.
“Aleatica is one more company that is leaving the stock market because an Australian fund announced that it will present an acquisition offer to remove it from the market due to its low liquidity,” explained Jacobo Rodríguez, director of financial analysis at Black Wallstreet Capital México (BWC ).
He opined that the price that IFM Investors will pay to the company’s investors is more than double its last price prior to the announcement, which is why it represents an attractive premium, especially since it has been a little stock and with an extremely low trading volume. , there were even days without registering a single operation.
With the rebound this Wednesday, the company reached a market value of 54,560 million pesos.
Jacobo Rodríguez estimated that the process to finalize his takeover bid could take several months and even extend to more than a year. However, for the premium you are paying it may be a quicker process.
Aleatica pointed out in the notice that the operation is subject to the necessary corporate and regulatory authorizations in Mexico, including the approval of the National Banking and Securities Commission (CNBV).
The shadow of OHL followed
In 2018, Aleatica emerged after the Australian pension fund IFM Global Infrastructure Fund bought 100% of OHL in Mexico, the highway concessionaire in Mexico that was involved in corruption scandals and violation of the Securities Market Law revealed in telephone leaks that began to be uncovered in 2015.
In them, directors of OHL Mexico and Mexican public officials planned to inflate the rates of a section of the Viaducto Bicentenario highway, in the State of Mexico. OHL Mexico always denied it
But the National Banking and Securities Commission determined economic sanctions for 71.7 million pesos, for an inadequate application of accounting principles; alleged improper information to the market about current traffic levels and their projections, and an alleged breach of the Securities Market Law.
“That bad reputation stayed with Aleatica, coupled with the fact that the financial numbers were not something so attractive to whet the appetite of investors. It is an issuer that really does not make much noise in the local stock market”, added the director of financial analysis at BWC.
In addition to the fact that they did not have an expansion project in the short term, they kept the business they already had when they bought OHL, so their growth prospects did not attract investors. In addition, the sale of 49% of its participation in the Toluca air terminal is still pending.
- It is an operator of transport infrastructure concessions in the metropolitan area of Mexico City.
- It has a presence in seven countries: Mexico, Peru, Colombia, Chile, Spain, the United Kingdom and Italy. Mexico is the most important market.
- In the world, it has 20 concessions, mostly urban highways, as well as ports, an airport, a railway and interstate corridors.
- In Mexico, it manages seven toll highways and a 49% stake in the Toluca International Airport.
- The roads that operate are: Circuito Exterior Mexiquense, Viaducto Bicentenario, Autopista Urbana Norte, Supervía Poetas, Bypass Elevado de Puebla, Autopista Amozoc-Perote and Atizapán-Atlacomulco, under construction.
- It is a global manager of investment funds of Australian origin.
- It manages more than 124,000 million dollars in 4 asset classes: infrastructure, debt investment, stocks and private equity.
- It has 30 million pension fund members.
- It is the fifth largest infrastructure operator in the world together with 490 investors in long-term assets.
- Acquired 100% of OHL Concesiones globally for 2,643 million dollars.
- The fund is the controlling shareholder of Aleatica.
Source: The Economist