Visions - Summer 2017 - 10
BRAZIL
Water Concession Business in Brazil
Helps Bring Clean Water to Residents
O
nly 83% of Brazil's population has access to utility water services,
and only 50% can access sewage services, according to Brazil's
National Sanitation Information System. At the same time, leakagerelated loss from the water supply network is becoming a critical issue that
requires urgent infrastructure improvement. Currently, 90% of water and
sewage services are managed by local governments, but the Brazilian
government has adopted a policy to bring in more private companies through
concessions to improve this situation. This has provided an opportunity to
launch Sumitomo Corporation of Americas' water and sewage treatment
business in Brazil, as well as increase the company's CSR efforts by
A wastewater treatment plant in Sao Paulo
providing clean water and sanitation service to communities.
In April of this year, SC announced its investment
alongside Brookfield Business Partners L.P. and
institutional clients of Brookfield Asset Management
for a 70% controlling stake in 26 project companies
involved in water and sewage services and industrial
water treatment, all owned by Odebrecht Ambiental
(OA), Brazil's largest private water distribution, collection and treatment company. Sumitomo`s investment
amount is approximately $250 million, which represents a minority stake in the 26 project companies.
The company has been renamed as BRK Ambiental.
Tomoyuki Shionoya, VP of SCOA's Environment &
Infrastructure Group, said the task of finding key water concession markets in the Americas was a multiyear project involving immense research, years of due
diligence, and intense investigation of US, Mexico
and Latin American markets. They settled upon Brazil
A pump station in Minas Gerais
10
visions
Summer
2017
3 years back after examining the market potential,
regulations and existing project and players in Brazil's water & sanitation industry, much of which had
not been privatized but well regulated for private
investors with big potentials to grow.
"Timing was important," Shionoya said. "When we
started focusing on Brazil three years ago, the market
was dominated by the local big players, but the
window for foreign companies was about to open
for various reasons. We researched many options to
enter the market and through several trial and error
situations we have accumulated the knowledge and
connections within the market gradually, as well as
enlisted the efforts of Portuguese-speaking staff such
as Yuki Shinoda in SC Brazil's Infrastructure Department. Through all these efforts we had the opportunity to acquire Brazil's No.1 private operator,
Odebrecht Ambiental, a year and a half ago."
A water treatment plant in Sao Paulo
Table of Contents for the Digital Edition of Visions - Summer 2017
Contents
Visions - Summer 2017 - Contents
Visions - Summer 2017 - 2
Visions - Summer 2017 - 3
Visions - Summer 2017 - 4
Visions - Summer 2017 - 5
Visions - Summer 2017 - 6
Visions - Summer 2017 - 7
Visions - Summer 2017 - 8
Visions - Summer 2017 - 9
Visions - Summer 2017 - 10
Visions - Summer 2017 - 11
Visions - Summer 2017 - 12
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https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall2019
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer2019
https://www.nxtbook.com/nxtbooks/sumitomo/visions-spring2019
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fallwinter2019
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer2018
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winterspring2018
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall2017
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer2017
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winterspring2017
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall16
https://www.nxtbook.com/nxtbooks/sumitomo/visions-springsummer16
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter16
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall15
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer15
https://www.nxtbook.com/nxtbooks/sumitomo/visions-spring15
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https://www.nxtbook.com/nxtbooks/sumitomo/globalsolutions2014
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https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall13
https://www.nxtbook.com/nxtbooks/sumitomo/visions-springsummer13
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter13
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall12
https://www.nxtbook.com/nxtbooks/sumitomo/visions-springsummer12
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter12
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall11
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer11
https://www.nxtbook.com/nxtbooks/sumitomo/visions-spring11
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter11
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall10
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer10
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winterspring10
https://www.nxtbook.com/nxtbooks/sumitomo/visions-fall09
https://www.nxtbook.com/nxtbooks/sumitomo/visions-summer09
https://www.nxtbook.com/nxtbooks/sumitomo/visions-spring09
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter09
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https://www.nxtbook.com/nxtbooks/sumitomo/visions-spring08
https://www.nxtbook.com/nxtbooks/sumitomo/visions-winter08
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https://www.nxtbook.com/nxtbooks/sumitomo/vision-summer07
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