Mexico’s largest construction company Empresas ICA, making an IPO to international equity investors in April 1992 to fund their participation in an ambitious new private-sector approach to highway development. Under the new program of President Carlos Salinas de Gotari launched in 1989, the Mexican government offers concessions to private sector bidders for the construction and operation of toll roads along key transport corridors. Winning bidders are required tak … Read more »

Mexico’s largest construction company Empresas ICA, making an IPO to international equity investors in April 1992 to fund their participation in an ambitious new private-sector approach to highway development. Under the new program of President Carlos Salinas de Gotari launched in 1989, the Mexican government offers concessions to private sector bidders for the construction and operation of toll roads along key transport corridors. Winning bidders are required to take an equity stake in their communities and to increase borrowing outside the public sector. The case allows students the opportunities and risks offered to domestic and foreign companies that sweeps from the privatization movement in the early 1990s, discovering Latin America.
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from
Willis Emmons,
Monica Brand
Source: Harvard Business School
20 pages.
Publication Date: Sep 28, 1992. Prod #: 793028-PDF-ENG
Empresas ICA and the Mexican road race privatization program HBR case solution