Mexico's first publicly listed oil company set for August debut

Riverstone Holdings

26/07/2017 23:14

By Sheky Espejo 
    MEXICO CITY, July 26 (Reuters) - Vista Oil & Gas, with 
backing from private equity firm Riverstone Capital, will launch 
an initial public offering (IPO) on Mexico's stock exchange on 
Aug. 11, according to three sources with knowledge of the deal 
and a document seen by Reuters.  
    The IPO would mark the entry into Mexico's stock exchange of 
the country's first publicly traded oil company, four years 
after a landmark constitutional oil reform ended the 
decades-long monopoly enjoyed by national oil company Petroleos 
Mexicanos, better known as Pemex. 
    A Vista spokesperson did not immediately return a phone call 
requesting comment. 
    Riverstone is also a major investor in privately held Sierra 
Oil & Gas, launched in 2014, the first Mexican oil company 
formed since the reform. 
    The Vista debut, the first special purpose acquisition 
vehicle (SPAC) in Mexico, plans to raise at least $500 million 
by offering 50 million Series A "units" valued at about $10 per 
unit, according to the prospectus. 
    SPACs are publicly traded buyout companies that raise funds 
through an IPO with the goal of later completing acquisitions. 
They are commonly used in non-conventional oil and gas projects 
in the United States. 
    A two-week investor roadshow for Vista kicked off on Monday 
in New York, and will move on to Toronto, London and Boston, 
according to the document.     
    The Vista management team includes former executives of 
Argentina's national oil company YPF including that company's 
ex-CEO Miguel Galuccio. 
    The company's acquisition targets range from Mexico, Brazil, 
Colombia and Argentina. 
    Energy infrastructure company IEnova, a unit of U.S. firm 
Sempra Energy, has traded on the Mexican stock exchange since 
2103, but is not involved in exploration or production 
activities. 
    Mexican conglomerates Alfa and Grupo Bal are also both 
listed and have oil and gas units, but investors can not 
directly invest in those units. 
 
 (Reporting by Sheky Espejo; Writing by David Alire Garcia; 
Editing by David Gregorio) 
 ((david.aliregarcia@thomsonreuters.com; +52 55 5282 7151; 
Reuters Messaging: 
david.aliregarcia.thomsonreuters.com@reuters.net)) 
 
Keywords: MEXICO OIL/VISTA