HOUSTON - Azurix Corp., an affiliate of Enron Corp., announced today that it has entered into an agreement to acquire a 49 percent interest in Industrias del Agua, S.A. de C.V. (“IASA”), a water and wastewater service company based in Monterrey, Mexico. Through its subsidiary, Industrias del Agua de la Ciudad de Mexico, S.A. de C.V., IASA provides metering, billing, collections, operations and maintenance services for one quarter of the Federal District within Mexico City, a service area that constitutes approximately 2.0 million people.
In addition to holding an equity interest in IASA, Azurix will serve as a technical participant in providing services under the Federal District contract. IASA has provided these services since 1993, when it signed this 10-year contract with the Water Commission of the Federal District (“CADF”).
“This transaction supports Azurix’s global strategy of owning and operating water and wastewater assets and providing related services,” said Rebecca P. Mark, chairman and CEO of Azurix. “We are pleased to work with IASA, a well known and respected company that has successfully provided water and wastewater services in one of the largest cities in the world. IASA’s knowledge of the market and its operating skills will provide us an excellent platform from which to expand Azurix’s business in Mexico.”
“Azurix brings a financial and technical expertise which, when combined with our core operating skills and overall knowledge of the market, will enable us to aggressively expand our business,” added Eduardo Marroquin Brittingham, chairman and CEO of IASA.
Subject to administrative and regulatory approvals, including CADF approval of Azurix becoming the technical participant under the IASA contract, the transaction is expected to close in six to eight weeks.
Azurix is a global water company that owns, operates and manages water and wastewater assets, provides water and wastewater related services, and develops and manages water resources. Azurix maintains headquarters in Houston and London.
For additional information please contact:
Diane Bazelides
(713) 345-5209
