Fepasa registers US$6.54mn share issue

Chilean rail company Ferrocarriles del Pacifico (Fepasa) has registered a 4.56bn peso (currently US$6.54mn) preferential share issue with the country's securities regulator, the SVS, Fepasa announced Friday. The proceeds will be used to strengthen the company's financial situation and upgrade its installations, which will allow it to meet the requirements of new transport projects, the statement read. A total of 428,498,648 shares will be issued. Fepasa posted a 1.19bn peso net profit in 2002, a 338% increase from 2001. Over the same period, operating profits dropped 6.6% to 3.32bn pesos and sales increased 6.44% to 27.2bn pesos, while non-operating income improved closing at a loss of 2.23bn pesos from a loss of 3bn pesos in 2001. NEW SHAREHOLDERS Earlier this year, Region V port Puerto Ventanas completed a public offering for a stake in Fepasa. The offer was launched December 28 and entailed the purchase of 50.5% of series A shares (2.01 billion shares) worth some US$27.9mn, which now gives Ventanas a 47% overall share in Fepasa, making it the single largest shareholder. Fepasa's other shareholders are the State with 21.8%, Fondo de Inversion Orion (13.8%), Infraestructura y Transportes (9.86%), International Finance Corporation (6.10%) and Latin Rail Investors (1.48%). Fepasa was formed in 1993, when state-owned rail company EFE split its cargo and passenger transport business areas. A year later the Cruzat group acquired control of Fepasa and operates a 1,923km network from central Region V to Region X under a 20-year concession. Fepasa's rolling stock consists of 84 locomotives (68 diesel, 16 electric) and 3,500 railcars; some US$48mn was invested in the last six years.