Holland & Knight Advises AgroFibra on Initial Public Offering on Mexican Stock Exchange
MEXICO CITY (December 14, 2022) – Holland & Knight represented AgroFibra in its debut on the Mexican Stock Exchange on Dec. 9. AgroFibra raised almost MX$977 million (close to US$50 million). Its real estate certificates (CBFIs) were listed at $40 pesos each. This transaction marks the end of a long period of minimal initial public offering (IPO) activity within capital markets transactions in Mexico.
Credit Suisse, Finamex, Citibanamex, BTG Pactual and Actinver managed AgroFibra's IPO as underwriters.
AgroFibra is the 18th FIBRA (Mexican real estate investment trust) to be listed on the Mexican Stock Exchange, and its success can be attributed to the high demand of exports through the United States-Mexico-Canada Agreement (USMCA).
This is the first FIBRA established to acquire, sell, lease back and build properties in the agro-industrial sector in Mexico. AgroFibra will initially own six properties in its portfolio and is set to acquire 14 more to increase its Gross Leasable Area (GLA). These initial and subsequent properties are located in the Mexican states of San Luis Potosi, Morelos, Colima, Guanajuato, Jalisco, Queretaro and Sonora.
Holland & Knight Partners Adrian Gay Lasa and Guillermo Uribe and Associate Jorge Gonzalez led the representation of AgroFibra.
Holland & Knight's Mexico City-based team have been important counselors to Mexico's FIBRA market since the inception of the first Mexican FIBRA in 2011. The AgroFibra IPO marks the seventh time the Holland & Knight team has advised on FIBRA market debuts. Those issuances include Fibra UNO (2011), Fibra Inn (2013), Fibra Shop (2013), Fibra HD (2015), Fibra Plus (2016) and Fibra Educa (2018).