Vix Logistica

completed

The proposed IFC investment comprises a straight equity investment of up to R$200 million (approx. US$100 million equivalent) in VIX Logística S.A. (“VIX” or the “Company”) to support their high growth business case in Brazil’s logistics sector, further diversify their client base and strengthen their country wide presence.VIX is a highway-based logistics services provider in Brazil, operating since 1971. VIX’s business is based on a mix of owned and leased equipment with ownership primarily driven by the specific equipment needs to provide dedicated solutions to large clients under medium/long term contracts. It operates mainly in four business lines: Dedicated Logistics: Comprises a wide array of tailored, dedicated and integrated supply chain services covering transportation of raw materials to industrial units, inventory management, warehousing and distribution of products to end customers. In this segment, VIX typically has 3-5 year contracts with clients in oil/gas, mining, steel and beverage sectors such as Schlumberger, Usiminas, Gerdau, ArcelorMittal, Klabin, Petrobras and Vale. Fleet Services: Comprises the rental and management of vehicle fleets on behalf of corporate clients for meeting local transportation needs of passengers and small cargo. Services include fleet sizing, dispatching, maintenance, drivers and back-up vehicles Automotive Logistics: Includes transport of brand new vehicles for the automotive industry across the country. It includes additional services such as inbound and outbound logistics of parts, storage and distribution to retail. Passenger Transportation (or corporate shuttling): Comprises chartered bus services and daily transportation of personnel employed by VIX’s customers, as well as routing and fleet optimization. VIX typically has 5-8 year contracts with clients such as Samarco, Vale, Fibria, Braskem, Suzano and Petrobras.