The landscape of Brazilian infrastructure underwent a significant shift today as the “Consórcio 116 Sertões” secured the concession for the Rota dos Sertões. The winning group, comprised of Nova Infra Invest (a vehicle of the Novonor group), the asset manager Galapagos Capital, and the Portuguese construction firm Mota-Engil, each hold an equal one-third stake in the project.
The consortium emerged victorious after a live-bid auction, surpassing competition from a group led by Ivy Capital and the Infra Brasil fund, as well as a separate bid from Aspen Participações, and DMDL. The winning bid offered a 19.6% discount on toll tariffs, committing to approximately R$ 4.1 billion in investments over the 30-year contract term. The project covers specific stretches of the BR-116 and BR-324 highways across Bahia and Pernambuco.
A Strategic Return to the Market
This victory marks the return of the former Odebrecht group, now rebranded as Novonor, to the national infrastructure concessions market. The company previously operated extensive assets, ranging from the Galeão airport to various highways and metro systems, before facing significant impacts from the Lava Jato operation and a subsequent judicial recovery process.
André Rabello, director superintendent of Nova Infra Invest, emphasized that the company is effectively a “100% new” entity. He noted that the firm brings both financial capacity and an extensive track record in Latin American infrastructure to this new chapter.
Future Outlook
Looking ahead, the consortium’s success may serve as a blueprint for future expansion. Rabello indicated that the company is already evaluating a pipeline of potential business opportunities, specifically targeting projects that require complex engineering solutions.
The firm is likely to pursue additional concessions in the transport sector, as well as in sanitation and other specialized projects. To facilitate this, Nova Infra Invest has reportedly signed memorandums of understanding with various partners. Meanwhile, for Galapagos Capital, this victory represents its first successful concession in the road sector, following previous attempts and a prior project that was ultimately invalidated.
Frequently Asked Questions
What does the Rota dos Sertões contract entail?
The 30-year contract involves the operation and maintenance of highway stretches on the BR-116 and BR-324, spanning the states of Bahia and Pernambuco, with planned investments of R$ 4.1 billion.
Who makes up the winning consortium?
The Consórcio 116 Sertões is an equal partnership between Nova Infra Invest (a Novonor company), Galapagos Capital, and the Portuguese construction firm Mota-Engil.
What is the strategic goal of Nova Infra Invest following this win?
The company intends to use this concession as a platform to enter additional projects, including those in transport, sanitation, and potential mergers and acquisitions, specifically focusing on complex engineering ventures.
How do you believe the return of established groups like Novonor will influence the competitiveness of future infrastructure auctions in Brazil?
