By Brazil Stock Guide – Pátria Investimentos’ Infra Br V fund won the auction for the Paranapanema highway lot in São Paulo state with an 11.6% discount on the maximum public payment, according to Valor Econômico. The deal, struck at the B3 exchange in São Paulo on Friday, represents a R$310 million ($55 million) concession fee.
The 30-year concession requires investments of about R$5.8 billion ($1.02 billion) to expand, modernize and maintain 285 kilometers (177 miles) of highways, including key sections of the Raposo Tavares (SP-270) between Ourinhos and Itapetininga. Additional stretches include the SP-189, SP-278 and SPA-204/270.
Bidding competition
The auction also attracted offers from the Viaja+SP consortium — formed by Galápagos, M4 Investimentos, Engenharia Materiais and Traçado Construções — which raised its bid to a 10.6% discount in the live round. CS Infra offered a 3.2% discount. The winner was chosen on the basis of the largest rebate on the government’s benchmark value.
Infrastructure plan
The contract includes duplicating 147 kilometers of roads, building 29 pedestrian overpasses, 84 bus stops, 56 kilometers of shoulders and 13 kilometers of frontage roads. The winning concessionaire will also install traffic cameras, variable message signs, weigh stations, LED lighting and a wireless communication network for emergency services such as tow trucks, ambulances and mechanical support.
Economic and logistics impact
The government of São Paulo said that duplicating the Raposo Tavares highway will create a new “strategic corridor” for agribusiness, linking the state’s interior and the Midwest region to the Port of Santos. The concession is expected to benefit 21 municipalities, cut logistics costs, strengthen competitiveness and accelerate the flow of agricultural and industrial output.
The state also projects “significant job creation”, particularly during the duplication and construction phase. Authorities classify the Paranapanema lot as a key logistics corridor in the broader state infrastructure strategy.
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