Ica sells 70% prison stake

Mexican infrastructure firm Empresas Ica has sold a 70% stake in two prisons it operates in Mexico. International jail operator CGL has paid MXN1.5bn ($116m) for the acquisition, through which the two firms will create joint venture. As well as the existing operations, the new company will develop new jails in Mexico. Ica sold a MXN7.1bn project bond, backed by contracts with the federal government to operate prisons, in September 2011. The bond remains outstanding, with no change to the issuing entity or the fund flows that back the note, according to an Ica investor relations official.