AMB Plots CCD Issue

The Mexican unit of industrial and commercial real estate developer AMB is preparing an issue of Certificados de Capital de Desarollo (CCD). The transaction for up to MXP3.3bn offers investors a portion of proceeds from revenues linked to planned expansion, according to regulatory documents. The filing says the issuer estimates a 13%-16% IRR for investors. A tenor of at least 8 years is expected, according to a report from Scotia Capital. Banamex and Actinver are managing the sale. No timetable is given, but a banker familiar with the transaction says marketing is getting underway this month, with the deal closing at the end of March at the earliest. CCDs have been slow since their debut last year, as domestic institutional investors take time to study the new asset class that gives private equity-like variable return participation through the sale of tradable securities. Only the first deal from ICA and Goldman Sachs, and a second from Wamex have closed. Transactions from Macquarie, Grupo House and others are waiting. At least a dozen are in various stages of development, bankers say.