Today, Graña y Montero (“Graña y Montero” or the “Company”), the engineering and construction Peruvian company recently listed in the New York Stock Exchange, formalized the acquisition of a 100% stake in DSD Construcciones y Montajes S.A. (“DSD”), a Chilean engineering and construction company specialized in providing services to the energy, oil and gas, cellulose and mining sector in Chile and Latin America.
The announcement was made by Graña y Montero’s CEO, Mario Alvarado, after the subscription of the purchase agreement by which Graña y Montero acquired 100% of DSD´s shares from the Ferrostaal Group, through an investment of US$ 41 million.
According to Mario Alvarado, the Company’s investment in DSD, together with the purchase of a majority stake in Vial y Vives in late 2012, will enable the Company to strengthen its presence in Chile. The combination of the human capabilities from the different companies that are part of the Graña y Montero Group will generate a highly specialized services provider with a regional reach.
He also noted that this operation is a further step in the internationalization strategy of the leading engineering and construction group in Peru. "This is Graña y Montero’s third investment in Chile and it confirms our objective to grow in that country and in a regional level, in line with the objectives outlined in the recent capital raising process carried out in the New York Stock Exchange".
In 2011, Graña y Montero acquired from the Endesa Group a 75.0% interest in Compañía Americana de Multiservicios Limitada (CAM) a services company from the electricity sector based in Chile and with operations in Colombia, Brazil and Peru, and in 2012 it acquired a 74.0% stake in Chilean construction company Vial y Vives, a company specialized in the mining sector.
DSD’s Business Development
In its 19 years of business development, DSD has been mainly present in major construction and assembly projects of oil refineries, cellulose and paper plants, thermoelectric and mining projects in Chile, refineries in Peru and energy and petrochemical industries in Venezuela.