Brazil: Belo Horizonte Metro is awarded to the private sector for US$4.97 million

The Belo Horizonte Metro in the capital of the State of Minas Gerais (MG) was awarded today (22) to the private sector in an auction held at B3.

Comporte Participações, the only company to make offers, paid 33% more than the initial price of R$19.3 million (US$3.74 million), taking the company for R$25.7 million (US$4.97 million).

The contract has a duration of 30 years and provides for the modernization and expansion of Line 1 and the conclusion of works on Line 2, and the operation of passenger transport services.

The study on which the privatization was based, carried out by the National Bank for Economic and Social Development (BNDES), points to the need for R$3.7 billion (US$720 billion) in investments, of which R$3.2 billion (US$620 million) will be made available by the federal governments, with R$2.8 billion (US$540 million) and state with R$440 million (US$85.15 million).

About 210,000 people use the subway system in the capital of Minas Gerais per day. With the construction of Line 2, more than 50,000 passengers are expected to use the system daily.

The company that won the concession, Comporte Participações, controls and participates in several highway and urban bus companies in the country.

With information from Agência Brasil

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