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AZURIX CORP. ACQUIRES INTEREST IN CANCUN WATER CONCESSION
FOR IMMEDIATE RELEASE: Wednesday, January 20, 1999
HOUSTON – Azurix Corp., an Enron company, announced today that it has entered into an agreement to acquire, through its affiliate Azurix Cancun, a joint interest in the water and wastewater concession for Cancún, Mexico, with its partner, Grupo Mexicano de Desarrollo S.A. (GMD).
Azurix, which will operate the system, will acquire a 49.9 percent interest from GMD for $13.5 million in cash and the assumption of approximately $25 million in financing and operational commitments related to improvements in the wastewater treatment system. Subject to regulatory and legislative approval, the transaction is tentatively scheduled to close by mid-March.
“We are pleased to have consummated this business opportunity with our regional neighbor Mexico,” said Rebecca P. Mark, chairman and CEO of Azurix. “We think Cancún is an excellent addition to the Azurix portfolio of assets. It is a high profile resort area with wonderful growth prospects.”
The water concession extends through the year 2023 and covers water, wastewater and drainage for Cancún and Isla Mujeres in the state of Quintana Roo. The current population in the concession area is approximately 383,000, with growth rates projected at 3 percent annually through 2015.
Azurix is a global water company that is committed to setting new standards for clean water solutions worldwide. The company owns, operates and manages water and wastewater utilities in the United Kingdom and in Latin America. The company also offers water and waste water-related services to utilities and industry and will develop and manage water resources worldwide. Azurix maintains headquarters in Houston and London. The company is part of the Enron Corp. family of companies. Enron is traded under the ticker symbol “ENE.”
Click here to download this press release in Microsoft Word format.
For additional information please contact:
Diane Bazelides
(713) 345-5209
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