Presentation on theme: "Sergio Földes Guimarães Deputy Managing Director – International Division BNDES 55-21-21726893"— Presentation transcript:
Sergio Földes Guimarães Deputy Managing Director – International Division BNDES 55-21-21726893 email@example.com
Infrastructure investments (% GDP) The evolution of infrastructure cycles (R$ billion, 2013 prices) Energy Forecast Logistics Sanitation End of 1 st Telecom cycle Beginning of Energy cycle Beginning of Logistics cycle Solid Trend of Infrastructure investments underway Sergio Földes Guimarães - BNDES
Bonds issued (with + without tax breaks) 2010-2015, bonds issued: R$ 17 billion Sector Volume (R$ Million) #Issues Roads9.28924 Hydro Power Plants1.9427 Railways1.8513 Termhal Power Plants1.3353 Transmission Lines9567 Airports9003 Gas Distribution4121 Wind Power Plants3367 Ports3211 Small Hydro Power Pl3002 Sanitation2001 Total17.84258 Framework conditions for infrastructure financing Sergio Földes Guimarães - BNDES
Adequate financing structure Attractive rates of return Concessionaire EquityDebt Developers Equity/ Mezzanine investors BNDES Capital Markets Banks Users Construction Grantor Insurance Adequate risk allocation and a balanced structure of collaterals Strong demand 2011-2013: R$ 44.3 billion - Investments in infrastructure by Private Equity Vehicles (Funds) BNDES has invested in 8 infrastructure funds R$ 9,3 bi - is the total capital committed by 8 funds R$ 1,1 bi - is the capital committed by BNDES Sergio Földes Guimarães - BNDES Framework conditions for infrastructure financing
Airports Ports Source: Valor Grandes Grupos, 2014 Railways Roads Current status: Stablished Operators & Developers Sergio Földes Guimarães - BNDES Room for new players!
201520162017 Toll roads Airports Ports Railways 2015201620172018 Toll roads Airports Ports Railways Capital Markets Concessionaire equitydebt Developers BNDES Banks Users Construction Grantor insurance Equity/ Mezzanine investors Project bonds Equity or Mezzanine Debt Projected timeline of Equity/Mezzanine Debt & Project Bonds based on current bids Sergio Földes Guimarães - BNDES
TOLL ROADS 25%30% 35% 30%35% up to 70% 10%35% PORTS 35%30% 25% up to50% 20% 10%25% 2015 enhanced financing conditions: all in costs reduced up to 200 bps Sergio Földes Guimarães - BNDES TJLP denominated debt Equity/ Cash Flow Optional IPCA or SELIC Debentures Additional TJLP Basic rate (SELIC) or inflation (IPCA) denominated debt Prefered rate Market rate
AIRPORTS 35%30% 15% up to 30% 40% 20%15% RAILWAYS 70%30% up to 70% 2015 enhanced financing conditions: all in costs reduced up to 200 bps Sergio Földes Guimarães - BNDES Equity/ Cash Flow Optional IPCA or SELIC Debentures Additional TJLP Basic rate (SELIC) or inflation (IPCA) denominated debt Prefered rate Market rate
Auction 3 to 6 months Contracts Signed/ Bridge Loan Approved LT Loan Approved 6 to 12 months 30 months to 60 months Project Completion... 20 to 30 years total Bridge Loan Long Term Loan (35-70%) Infrastructure Bonds (10-35%) Equity and Mezzanine Debt (Strategic & Financial Investors) Financial Investors Timeline Other Banks Non-recourse Limited recourse & Equity/Cashflow (20-30%) Typical project finance timeline Sergio Földes Guimarães - BNDES
With bond issuance Shared guarantees Cross-default Amortization curve to be based on French Amortization System (Price Table) instead of Constant Amortization System Increased TJLP participation With partners insurance companies, working on a guarantee on demand TAKE AWAYS The years to come will offer low risk, steady and adequate returns to private investors in Brazil As in its 63 years of experience, BNDES will maintain total commitment to support infrastructure 2015: BNDES proposes innovations to engage in the private finance industry and capital markets Cost reduction in finance conditions Credit enhancement mechanisms BNDES credit enhancement conditions Sergio Földes Guimarães - BNDES
Sergio Földes Guimarães Deputy Managing Director – International Division BNDES 55-21-21726893 firstname.lastname@example.org Thank you!