Grupo Mexico Delays U$1 Billion IPO For Rail Unit ITM
Mexican miner and infrastructure company Grupo Mexico postponed its plans to launch a $1+ billion initial public offering (IPO) of its rail unit ITM by the end of June, according to a source close to the deal and recently reported by Reuters.
The IPO was planned to take place towards the end of June and raise between over $13 billion pesos. Grupo Mexico says that the U$1 + billion approx would fund the expansion of its rail network and investment in upgrading its locomotives and rail cars.
This plan has been discussed for some time and is a result of the growth of Mexico’s auto manufacturing industry, which sends thousands of cars north to the US market each year by rail.
