AySA privatization: Rowing-Arcos-Transclor-PHX wins bid for US$340 million

The consortium Rowing-Arcos-Transclor-PHX has won the bid for 90% of the shares in the water and sanitation company AySA with an offer of US$340.2 million. This bid surpassed the US$285 million proposal from the Roggio SA-led group. The winning consortium, which includes Mauricio Filiberti’s holding and designates Arcos Saneamento e Participações S.A. (part of Grupo Equipav) as the technical operator, has committed to investing US$1.94 billion in the first five years and a total of US$15.04 billion over the 30-year contract term. The buyers will also assume the company’s US$70 million debt.

Critics have raised concerns regarding the transparency of the bidding process, noting that the final sale price fell below the US$450 million to US$500 million estimates previously suggested by the government and Ministry of Economy. There are also questions regarding the lack of public access to the company’s valuation and environmental liabilities. Additionally, observers have noted that the winning group anticipates a potential US$93 million annual increase in cash flow through a new user categorization system, a detail that remains central to the long-term financial impact on consumers.