MEXICO · STATE POWER FIRM
Key Facts
- The country Mexico, Latin America’s second-largest economy, where the state-owned company CFE runs the national power grid.
- Power Index Mexico ranks 2nd of 14 in The Rio Times Latin America Power Index, with 71.4 points (October 2026 edition).
- What happened CFE seeks US$1B from investors through a share sale in CFE Fibra E, a listed trust that earns money from the grid.
- The size CFE’s finance chief puts the target near US$1B, and the final size is not yet set.
- US angle The US part is limited to large institutions; the World Bank’s IFC may buy up to US$80 million.
- The wait Investor meetings in New York start in early November, CFE’s finance chief says; no pricing date.
Mexico’s state power company, the Comisión Federal de Electricidad (CFE), is preparing a share sale in its grid trust. CFE seeks US$1B from investors to pay for new high-voltage power lines in CFE Fibra E’s network across Mexico.
For US readers, the deal is a rare way to buy into Mexico’s power backbone, and the US portion is open only to large institutions. Our earlier report on CFE’s plan for a US$1 billion grid raise described the idea in July, before the formal steps began.
In Plain English
CFE is the state company that generates, sells and delivers most of Mexico’s electricity. CFECapital is its financial arm, and it manages CFE Fibra E, a trust whose shares trade on the Mexican stock exchange.
A Fibra E is a Mexican trust that pays out most of its income to shareholders, much like a US real estate investment trust. This one is tied to the fees CFE earns for running the National Transmission Network, the country’s high-voltage power lines.
How the CFE Fibra E Share Sale Came Together
On Tuesday 7 April 2026, CFECapital told the Mexican stock exchange it was exploring a share sale in Mexico and abroad. It stressed that no decision had been made.
That notice said any offer to US buyers would go only to qualified institutional buyers, meaning big funds and banks. It would use a US rule known as Rule 144A, which allows private sales to such buyers.
On Tuesday 11 August 2026, CFECapital asked Mexico’s financial regulator, the National Banking and Securities Commission (CNBV), for permission to sell new Series A shares. A private international offer would run alongside the Mexican one.
Bank of America, Citi and Santander are the global coordinators, the banks running the deal. Actinver and BBVA are joint placement agents in Mexico, and BNP Paribas is joint intermediary for the international part.
The notice said the sale goes ahead only if every regulatory and company approval is secured. It added that the size and timing depend on market conditions.
Why CFE Seeks US$1B From Investors
CFE’s finance chief, Eugenio Amador Quijano, said on Saturday 31 October 2026 that CFE seeks US$1B next month through the trust. CFE’s September investor presentation also shows an illustrative US$1 billion equity injection, which matches that figure.
Amador Quijano said CFE officials plan to meet investors in New York in early November. A possible offering would follow before the US Thanksgiving holiday on Thursday 26 November, and the presentation says no offering is guaranteed.
A bigger share sale would give the trust a larger slice of the grid’s fee income. At the end of the second quarter the trust held 9.5% of the collection rights, and one slide points to about 13% afterwards.
CFE says every US$100 million invested in the grid brings roughly US$10 million of added yearly revenue. That implies a payback of about ten years, and it is the company’s own projection, not a guarantee.
The presentation cites about US$8.5 billion of planned transmission investment in Mexico. CFE seeks US$1B from investors so the trust can help carry part of that bill.
What Investors Get
The trust reported a dividend yield of 11.2% at the end of June 2026. CFE’s comparison group of industrial real estate trusts in Mexico had a median of 6.0%.
From March to May, the grid fees behind the trust came to 22.96 billion pesos (about US$1.22 billion), up 2.6% from a year earlier. The trust paid holders 856 million pesos (about US$45 million) for the second quarter, up 3.8%.
The International Finance Corporation (IFC), the World Bank’s private-sector lender, said on Wednesday 19 August 2026 it may buy up to US$80 million. It still needs approval from its own management and board.
The IFC also warned other investors not to rely on its interest. It may sell its stake at any time.
What It Means for US Readers
US funds that qualify as institutional buyers can join through the private international offer. The shares trade in pesos on the Mexican exchange, so a weaker peso cuts a dollar investor’s return.
The US part of the offer is closed to ordinary investors. The sale also tests global appetite for state-linked Mexican assets.
CFE posted a third-quarter loss on Thursday 29 October 2026, and our report on CFE’s US$1.24 billion loss shows how the peso swings its results. Currency risk is therefore real when CFE seeks US$1B from foreign buyers.
What Comes Next
CFE and its banks still need the regulator’s approval before the shares can be sold. The IFC’s interest in the offering is also subject to its own board sign-off.
CFE also raised money in local bond markets in September, as our report on CFE’s US$1.08 billion bond sale shows. Investors will watch how the share sale fits with that borrowing.
What Is Not Known
The filings published so far do not state the final size of the sale or the price per share. No firm date for the sale has been published, and the regulator’s approval has not been announced.
It is not known how many shares will go to Mexican pension funds and how many to foreign buyers. Nor is it clear whether CFE seeks US$1B in one step or in several sales.
More: Mexico news in English, every day from The Rio Times.
Frequently Asked Questions
How much money does CFE seek from investors?
CFE’s finance chief said on 31 October 2026 that CFE seeks US$1B, and its investor presentation shows an illustrative US$1 billion. The final size of the share sale in CFE Fibra E is not public.
What is CFE Fibra E?
It is a trust listed on the Mexican stock exchange that earns money from the fees CFE charges for the high-voltage grid. It pays out most of its income to shareholders.
Can US investors buy the shares?
Large US institutions that qualify as institutional buyers can take part in the private international offer. The US part of the offer is closed to ordinary investors.
What will the money be used for?
CFE says the trust would buy more collection rights tied to the grid. The proceeds would then support grid spending that CFE has already planned.
Is the sale approved?
CFECapital applied to Mexico’s securities regulator on 11 August 2026. No approval or pricing date had been published by 1 November 2026.
Sources: CFECapital, relevant event notice on a possible CFE Fibra E equity offering (BMV), 7 April 2026; CFE press release CFE-BP-156/26 and CFECapital filing: CFE Fibra E requests authorization for a public offering in Mexico and international markets, 11 August 2026; CFE press release CFE-BP-163/26: IFC evaluates participating as anchor investor in the potential CFE Fibra E offering, 19 August 2026; CFE Fibra E, Earnings Release 2Q 2026 and investor presentation, September 2026 (CFECapital), September 2026.
In depth
Editorial responsibility: Matthias Camenzind, Editor-in-Chief · Editorial standards · Report an error
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