Mexico in Brief

Mexico in Brief, our monthly newsletter, is available in this section. Our Mexico in Brief summarizes the most relevant business news in Mexico, and also lists the main Mexican economic indicators. Our file is organized by issue number and issue date. Please consult it at your convenience and send us any comments through the link appearing below, or emailing us at

From Mexico in Brief Newsletter


    Mexican telecommunications company America Movil is expected to close a deal to sell its TracFone unit by year-end. TracFone is one of the largest providers of telecommunications services under a U.S. government subsidy program known as Lifeline that caters to low-income subscribers. Last year, Verizon, the American telecommunication company, declared that it would buy the prepaid mobile phone provider in an acquisition of approximately of U.S.$6 billion. America Movil announced it is also ready to sell its Claro Panama unit to Cable & Wireless Panama, a unit of Liberty Latin America.


    After a new round of financing, the Mexican small business lender, Konfio, became Mexico’s fourth unicorn with a valuation of approximately U.S.$1.3 billion. At the same time, Softbank Group extended approximately U.S.$110 million of a Series E rounds to the fintech company. Konfio will use the new capital received to expand its products and pursue acquisition opportunities. Konfio joins only a handful of startups in Mexico that have achieved the still rare unicorn status, such as used car dealer Kavak, cryptocurrency exchange Bitso, and payment processor Clip.


    Apple’s mobile payment service, Apple Pay, announced it will expand its services and will now be compatible with Visa cards belonging to Banorte, Banregio, Hey Banco, HSBC, and other banks operating in Mexico. Apple Pay uses near field communication technology which allows buyers to make payments without carrying their bank cards.


    Alsea, a Mexican multinational franchise restaurant company, announced that, jointly with the financial asset management company Bain Capital Credit, it will acquire a stake quivalent to 21.1 percent of Food Service Project, its subsidiary in Europe. Both companies mentioned that approximately U.S.$127 million will be invested for this transaction, where Alsea will contribute with approximately U.S.$64.3 million. The transaction will increase Alsea’s ownership of Food Service Project from 66.2 to 76.8 percent, while Bain Capital Credit and minority shareholders will own 10.5 and 12.7 percent, respectively.


    Brazilian petrochemicals producer Braskem, reached a gas supply agreement with the Mexican state-owned petroleum company, Pemex, in which it plans to build an ethane terminal. The construction of this new station would be supported by Pemex and other state-owned entities, expecting to cover the raw material needs of Grupo Idesa, the Brazilian’s partner in Mexico. Soon to be built near the port of the state of Veracruz, the new facility will require an investment of approximately U.S.$400 million. Braskem also reached a new agreement in which it receives at least 30,000 barrels of ethane per day until the new terminal becomes functional, by February 2025.


    The Mexican real estate investment trust, Fibra Uno, placed approximately U.S.$405 million in its first sustainable unsecured bonds maturing in 2025 and 2028. The bonds were sold in two tranches: approximately U.S.$145 million, maturing in 2028 with a fixed rate of MBONO + 165 basis points and another for approximately U.S.$13 million, maturing in 2025 and a variable rate of TIIE + 90 basis points. The proceeds will be used to pay the FUNO 17-2 bond that expires in December 2022.


    The Institute for the Development and Financing of the Mexican state of Quintana Roo estimates that the state will obtain a tourism investment of approximately U.S.$2.3 billion by 2022; investment which would then lead to an offer of more than 120 thousand hotel rooms. Among said projects, four hotel complexes will be opening in the south of the state, adding up to approximately U.S.$33 million in private investment and generating 1,820 jobs. The northern part of Quintana Roo is not far behind, as it plans to add seven new hotels with an investment for approximately U.S.$1 billion.


    After investing approximately U.S.$170 million, PepsiCo Mexico launched two distribution and logistics centers in the Mexican States of Puebla and Sonora; centers which are directed to expand their food portfolio. Additionally, the company announced that there will be another six transformation and relocation projects for their other plants in Mexico. This transformation is part of an ambitious investment plan for approximately U.S.$4 billion announced by PepsiCo Mexico in May 2019.