The State of São Paulo, through its transportation regulatory agency (ARTESP), issued the bidding notices related to these new highway concession lots:

(i)Florínea Igarapava” (also known as “Rodovias Centro Oeste Paulista”) For this 30-year concession comprising 570 km of highways in São Paulo, Brazil, the estimated contract amount is BRL 3.9 billion. The bidding proposals must be submitted on February 22, 2017.

(ii) “Itaporaga Franca” (also known as “Rodovia dos Calçados”) For this 30-year concession comprising 720 km of highways in São Paulo, Brazil, the estimated contract amount is BRL 5 billion. The bidding proposals must be submitted on April 25, 2017.

In both bidding processes, domestic and foreign companies, investment funds and supplementary social security entities—alone or in consortium—can participate.

The bidding documents have new provisions that might provide higher legal certainty to investors and companies interested in running the concession.

For example:

(a) An early termination of the concession agreement is possible if a concessionaire cannot sign the long-term financing until the 24th month of the concession;

(b) The mechanism of foreign exchange protection will protect the concessionaire of the risk in financial instrument in foreign currency in the first five years from the signature of the agreement, in cases where it is applied to the installment of financing in foreign currency related to investments linked to reversible assets and / or the payment of the concession fee.