On 7 March 2000 the Government informed each of the 8 pre-qualified bidders for the privatisation of Lima's Jorge Chávez International Airport that the final version of the concession contract has been approved and that the concession will be awarded.
The government has sent to Congress a draft "Economic Reactivation Law" for prompt consideration and approval. The law is part of a reactivation program which contemplates the enactment of other regulations as well.
Holland & Knight has announced the addition of Miguel E Rubio as senior counsel to the Washington office's Project Finance Group. Rubio practices in the areas of project finance, trade-finance and privatisation, as well as complex international business transactions, with experience in structured finance transactions throughout Latin America. Prior to joining Holland & Knight, Rubio was senior counsel at the Export-Import Bank of the United States. "The addition of Miguel Rubio will add substantial heft to the international business group's core capabilities in sophisticated financings and the full range of securities matters involving Latin American markets," said William J. Mutryn, head of the business law section in Washington, D.C.
A new title (XXIV) has been added to Law no. 18.045 (the "Securities Law"), containing the applicable regulations to the public offer in Chile of foreign securities or securities deposit certificates representing them ("CDV").
The Ministries of Finance and Economy of the new Administration have been considering the possibility of eliminating the mandatory one-year stay restriction on foreign capital brought into Chile either under the Foreign Investment Statute (Decree Law 600) or the Central Bank regulations.
The Income Tax Law, being prepared by the Tax Administration for adoption by Presidential Decree is still being drafted. The modifications are designed to increase tax revenues by expanding the taxable events to include new sources of territorial income (dividends).
Chilean regulators have imposed a 180 day injunction on Coca Cola, blocking the drinks giant from terminating a contract with Embotelladoras Chilenas Unidas SA (ECUSA). The Chilean Competition Bureau has begun a full investigation into Coke’s decision.
The postponement of the concessions for the transport and distribution of gas will allow a higher degree of competition and the presentation of improved bids, according to the president of the special committee for the promotion of private investment in Camisea, Luis Ortigas.
A new partner has joined the energy specialists Lopez Velarde, Heftye Abogados. Educated in Mexico and France, David Jiménez is former legal advisor to the General Counsel of Petróleos Mexicanos (the Mexican state-owned oil company) with regard to international transactions. His practice in Lopez Velarde, Heftye Abogados is focused on energy and infrastructure projects, as well as on mergers and acquisitions and foreign investment general practice.
A Convention entered into by the governments of Ecuador and Peru in relation to reciprocal promotion and protection of investments has been published.