Tuesday, December 12, 2017

Brazil's Patria Investimentos Targets Natural Gas, Renewables

Posted by November 29, 2017

Brazilian investment firm Pátria Investimentos Ltda is targeting infrastructure investments in natural gas and renewable energy, partner Otávio Castello Branco told journalists on Wednesday.

A fund managed by the investment firm was awarded in March via an auction the right to operate several highways in São Paulo, Brazil's richest state. In April, Pátria also won rights to build and operate power transmission lines.

Patria, which has a partnership with U.S. Blackstone Group LP since 2010, will now look for investments in energy, specifically related to natural gas and renewable energy, Castello Branco said.

Reuters reported on Oct. 31 that Pátria is among the groups analyzing a gas pipeline network that state-controlled oil company Petróleo Brasileiro SA, known as Petrobras, put up for sale.

Castello Branco declined to comment on the matter.

In a press conference on Wednesday, partners at the investment firm said they expect the fall of interest rates in Brazil to raise demand from local investors for alternative investments such as private equity and infrastructure funds.

The company is betting on a rebound in commercial real state prices on the medium term, led by shopping mall prices, that would be followed later by office space, Fauze Antun, Patria's real state partner said.

In January, Pátria and real estate tycoon Sam Zell announced that they would combine their two Brazilian self-storage firms in a joint venture that aims to more than double their capacity by 2020.

Reporting by Tatiana Bautzer

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