CS Infra wins 634 km highway concession in Mato Grosso

CS Infra, a subsidiary of Simpar, has won the auction for the Lot 6 highway concession in Mato Grosso, Brazil. Operating as part of a consortium with MTSUL Construções and Triunfo Participações e Investimentos, CS Infra will hold an 80% stake in the project.

The 30-year concession covers 634 kilometers of strategic highways, including MT-020, MT-140, MT-225, MT-244, and MT-251. These routes are vital for the transport of soy, corn, cotton, and beef. The project involves an average annual investment of R$ 93 million for pavement recovery, signaling, and safety interventions.

A key technological feature of the contract is the implementation of a ‘free flow’ system, utilizing nine automatic collection gantries instead of physical toll plazas. Toll collection is scheduled to begin in the second year of the contract.

Financial institutions, including Santander and Bradesco BBI, have viewed the acquisition positively. Analysts noted that the financing structure appears balanced, as toll revenue will begin before the most intensive investment phases, mitigating pressure on Simpar’s leverage. The new asset also allows for operational synergies with the company’s existing Lot 5 concession in the same region.