Supervia

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On July 15, 1998, the state government of Rio de Janeiro awarded a 25-year concession contract for Rio's commuter railway. The concession was awarded using a 2-stage bidding process to a consortium of Spanish and Brazilian companies. The final bidding criteria was the highest committed investment to the infrastructure. The contract could be renewable for an additional 25 years, peding satisfactory performance of the concessionaire. The major sponsors in the consortium are the spanish Construcciones y Auxiliar de Ferrocarriles (CAF) and Brazilian Banco Prospero. The Brazilian/US company Pactual has a sponsorhsip stake. Spanish rail operator, Red Nacional de Ferrocarriles Espanoles, is a member of the consortium as operator of the railway. The consortium bid US$ 275 million (R$279.6 million) for an investment program to rehabilitate the railway. This was significantly higher than the government's minimum of US$ 28 million, plus US$ 8.25 million in stock. The amount bid in excess of the minimum will be paid in infrastructure investment. Planned investment includes modernization of 11 stations, construction of one new station, refurbishment of trains, and the installation of air conditioning. The consortium has the option of a 25-year extension. The assets of a state owned company, Companhia Fluminense de Transportes Urbanos (Flumitrens) were transfered to the project company - Supervia Concessionaria de Transporte Ferroviario SA. Flumitrens continues to operate some other commuter railways in the state of Rio de Janeiro. Between 1998 and 2010, Supervia invested US$ million (BRL 600 million) in the rail infrastructure and rolling stock. In 2010, Odebrecht Group acquired 60% of Supervia's shares, while the remaining 40% of the shares were acquired by foreign investment funds. A new concession contract was signed, which was set to expire in 2048. The new sponsors agreed to invest US$ 681.8 million (BRL 1200 million) until 2020. The government also committed to invest the same amount over the period. In May 2012, Supervia received a US$ 127.3 million (BRL 248.5 million) loan from BNDES to finance its investment expenditures. From November 1998 to July 2004, Supervia had invested US$ 108 million (R$ 234 million).