annual report 2017

OVERVIEW

We have been investing in Brazil’s infrastructure since 1899, when we began building the hydroelectric plant in Parnaíba, built to supply the first public lighting systems and electric-powered mass transport (trams). Our current infrastructure portfolio represents approximately 40% of the total assets under management in Brazil and supports the backbone of the country’s economy.

Since 2012, through a joint venture with the Spanish group Abertis, we have been co-controllers of Arteris, the largest highway concession company in Brazil in terms of kilometers managed. Since 2014, we have also held a 26.5% stake in VLI, an integrated logistics company that operates railways, ports and intermodal terminals and in which we are partners with Vale, Mitsui and FI-FGTS. In 2015, we entered into a partnership with the Spanish group ACS, from which we now hold concessions to build and operate 4,310 km of power transmission lines. In 2017, we created a company called Quantum to manage these transmission projects.

Between 2016 and 2017 alone, our assets in this segment grew significantly, climbing from BRL 9 billion to BRL 32 billion. This increase was mainly due to the acquisition of a 90% stake in NTS through a consortium led by Brookfield, for USD 5.1 billion, one of the largest transactions in the Brazilian market in 2017.