Author: dev_

The Official Gazette of the Republic of Paraguay recently published the new Securities Market Law No. 5,810/17. Said Law regulates the public offering of securities and their issuances, public offering securities, stock exchanges, brokerage firms, and in general, other participants in the securities market, as well as the National Securities Commission.

It is worth mentioning that this regulation does not apply to issues made by the Executive Power through the Ministry of Finance or by the Central Bank of Paraguay.

The new law maintains in force the articles of the Civil Code and of Law No. 1163/97 “Regulating the Establishment of Commodities Exchanges” that do not contradict the recently enacted law. In addition, Law No. 1284/98 “Securities Market” and Art. 122 of Law No. 1,034/83 “Trader's Law” are repealed. 

Should you require further information or a copy of the Law, please do not hesitate to contact Cynthia Fatecha (cfatecha@vouga.com.py) or Carlos Vouga (cvouga@vouga.com.py). 

Vouga Abogados advised Tape Pora S.A. in all the contractual legal matters for obtaining the financing for the works related to the concession for the construction, duplication and adequacy of Route No. 7 “Gaspar Rodriguez de Francia” in the section between Pastoreo and Minga Guazú. The advice included the drafting of the contract for the acquisition of bonds, the trust agreement and all other legal documents necessary for the formalization of the transaction.

Six domestic banks and two foreign banks with local subsidiaries will finance 57% of the works. The banks signed agreements for the acquisition of bonds for Gs. 350,000,000,000,000, to be issued by the concessionaire Tape Porã through the Bolsa de Valores y Productos de Asunción S.A. for a term of 15 years, including a 2-year grace period, and a variable rate of 9% to 11.25% per annum, according to the installment payment term.

To provide security to investors, the structure also provides for the creation of an administration and source of payment trust, whereby Tape Pora transfers the entire right to collect tolls on the concessioned section of Route 7 to an autonomous patrimony that will be managed by Banco Atlas SAECA as trustee.

The banks GNB Paraguay, Familiar and Sudameris Bank will purchase bonds for 60 billion guaraníes each; Banco Itaú Paraguay will purchase bonds for 75 billion guaraníes; Banco Regional SAECA, for 65 billion guaraníes, while the banks Amambay and Bancop, and the financial company Solar will purchase bonds for 10 billion guaraníes each.

The total investment is USD 130,000,000, of which 57% will be covered by the bonds issued, and the other 43% with Tape Pora's own resources, i.e., generated by toll collection and shareholder contributions.

The work is scheduled to be completed in 28 months.

La apertura de ofertas será el miércoles 07 de junio a las 09:30, en el edificio central del Ministerio de Obras Públicas, bajo el llamado MOPC Nº 5/17 cuyo ID es 325818.

La obra se encuentra financiada por el Banco lnteramericano de Desarrollo (BID), y pretende beneficiar inicialmente a una población de 500.000 de habitantes y para luego extenderse 1.000.000 de habitantes.

Según la Dirección Nacional de Contrataciones Públicas (DNCP) el monto estimado para la inversión es de Gs. 104.430.000.000, para las zonas Bella Vista-Asunción.

En caso de precisar mayor información, favor contactar a: Marco Colmán mcolman@vouga.com.py o Walter Vera wvera@vouga.com.py 

Lex Latin (www.lexlatin.com) reported: “Teléfonica Celular del Paraguay S.A. (Tigo Paraguay), a subsidiary of Luxembourg-based Millicom International Cellular S.A., agreed to sell some 1,400 units of wireless communication towers to a subsidiary of American Tower Corporation (ATC) in a transaction for which Tigo will receive some 700 billion guaraníes - the equivalent of approximately US$126 million - to be paid in cash. The transaction was finalized on April 26, 2017.

The law firms Vouga Abogados, of Asunción, and Jones Day, with offices in Miami, São Paulo, Paris and New York, advised Millicom and Tigo Paraguay in connection with this transaction (...)”.

This article was published in LEX LATIN. For more information please visit the following link: http://lexlatin.com/noticia/tigo-paraguay-vende-torres-comunicacion-inalambrica-atc/

On Monday, April 24, 2017, Decree No. 6999/2017 was published in the Official Gazette of the Republic of Paraguay, which establishes the new General Tariff Regulations (RGT) proposed by the National Telecommunications Commission (CONATEL). Said decree repeals in its entirety the previous general regulation that was approved by Decree No. 16,761/2002.

The new General Tariff Regulation (RGT) conceptualizes the tariff in Article 3 in the following terms: “...is the price, whatever it may be, of a telecommunications service, which the Provider Company applies to its respective subscribers and users for the services actually provided, or for the services to be provided in the cases of advance purchase of services...”.

A novelty in the current regulation is the inclusion in Article 7 of the competence of the National Telecommunications Commission (CONATEL) to control the evolution of the sector and to carry out the required studies to prevent possible anti-competitive and discriminatory conducts, as well as artificial lows or increases in prices and tariffs, with the mention that when CONATEL identifies practices restricting competition, it will inform the National Competition Commission (CONACOM) about these facts. If CONATEL observes significant market power (SMP) by any of the operators in the sector, it will arrange for its treatment in accordance with the law and regulations.

In addition, the regulation establishes a catalog of serious infringements -Article 43- and minor infringements -Article 44-, as well as the mention of the corresponding sanctions in Article 46, which provides that “...the same shall be applied in accordance with the Law...”. Although the new regulation does not specify to which law it refers, we understand that the applicable law would be Law No. 642/95 “On Telecommunications”.

A point to note is that if this legal reference refers to the Telecommunications Law, this could generate doubts regarding the applicable penalties in case of non-compliance with the provisions of the new General Tariff Regulations - Decree No. 6,999/2017 -, since Law No. 642/95 provides taxatively in its Articles 103 and 104 the cases of minor and serious infringements, with the corresponding penalties in Article 105.

In the attached file you will find a copy of Decree No. 6999/2017 with the corresponding Annex.

For further information, please contact: Marta Martínez (mmartinez@vouga.com.py)

The implementation of compliance programs -compliance- as an opportunity to add value to companies was the topic addressed at a breakfast meeting organized by the law firm VOUGA ABOGADOS, with the support of Manpower Group and Pacto Ético Comercial.

The panel, held on Tuesday, March 28 at La Misión Hotel Boutique in Asunción, brought together numerous businessmen and executives in the area, who were able to share knowledge about best practices in the implementation of these programs and the way in which they add value to companies. The main speakers were Ms. Graciela Garay, Ethics and Compliance Director of CONMEBOL, Mr. Gonzalo Ruiz Díaz, Legal and Compliance Manager for the Southern Cone of Manpower Group and Mr. Miguel Almada, Legal Manager of TIGO Paraguay.

“To talk about Compliance is to understand the requirement to establish programs to ensure that a company complies with internal and external regulations,” said Rodolfo Vouga Zuccolillo, partner of Vouga Abogados and moderator of the event. “It covers not only anti-corruption issues, but also different aspects that impact the management of a company, such as compliance with environmental, labor, antitrust and other regulations. It is an issue that not only concerns large companies, but also organizations of any kind that seek to carry out a culture of transparent organization and growth”.

During the discussion, experiences in the implementation of compliance programs in national and multinational companies, practical recommendations in the management of these programs and experiences in the region were discussed, all aimed at strengthening a corporate model based on the commitment of all areas and effective leadership, capable of guaranteeing the profitability and competitiveness of a company, thus increasing its value and possibilities of success.

If you would like to learn more about compliancePlease do not hesitate to contact us: Rodolfo Vouga Zuccolillo (rgvouga@vouga.com.py) or Marco Colmán (mcolman@vouga.com.py) 

ABOUT THE EVENT

Vouga Abogados will hold a panel with professionals with recognized expertise in the area of Compliance, on March 28, 2017 in Asuncion. The panel will include discussions about how compliance programs can become a competitive advantage and add value to a company.

PANELISTS

Gonzalo Ruiz Diaz - Legal and Compliance Manager, Manpower Group

Miguel Almada - Legal Manager, TIGO

Graciela Garay - Director of Ethics and Compliance, CONMEBOL

WHEN

Tuesday, March 28, 2017
08:00 – 10:30

WHERE

La Misión Hotel Boutique

Juan E. Estigarribia 4990
Asunción, Paraguay

To register please write to us at info@vouga.com.py.

El Ministerio de Obras Públicas y Comunicaciones anunció el llamado a licitación internacional, para la CONTRATACION DE EMPRESA CONSTRUCTORA PARA LA CONSTRUCCION DE LA PLANTA DE TRATAMIENTO DE AGUAS RESIDUALES- PTAR BELLA VISTA- ASUNCION, en el marco del “Proyecto: Programa de Saneamiento Integral de la Bahía y Área Metropolitana de Asunción (Ley 5.614/2016 Que aprueba los Convenios de Préstamos 3393/OC-PR y 3394/BL-PR, Banco Interamericano de Desarrollo – BID)”

La licitación se efectuará conforme a los procedimientos de Licitación Pública Internacional (LPI) establecidos en la publicación del Banco Interamericano de Desarrollo titulada Políticas para la Adquisición de Obras y Bienes financiados por el Banco Interamericano de Desarrollo (BID), y está abierta a todos los Oferentes de países elegibles, según se definen en los Documentos de Licitación, y el monto estimado es de 104.430.000.000  guaraníes (USD. 19.000.000 aproximadamente)

El plazo de entrega / construcción es de 30 meses, posteriormente la empresa adjudicada se encargará de la operación y mantenimiento de las instalaciones por un plazo de 12 (doce) meses.

Para mayor información contactar con Marta Martínez (mmartinez@vouga.com.py) o Walter David Vera (wvera@vouga.com.py). 

La Comisión Nacional de Valores (en adelante CNV) ha dictado la Resolución N° 8 E/17 por la cual se aprueban la Resoluciones N° 1602/17, 1603/17 y 1604/17 de la Bolsa de Valores y Productos de Asunción S.A. Las citadas resoluciones evidencian una actualización normativa que fortalecerá el mercado de valores del Paraguay, por ello es importante destacar su emisión.

En relación a las resoluciones aprobadas por la CNV, la Resolución N° 1602/17 establece el reglamento del Mercado de Derivados Financieros de la Bolsa de Valores y productos de Asunción.

La Resolución N° 1603/17 dispone el reglamento de admisión para las diferentes categorías de participantes a ser habilitados para la negociación de contratos de derivados financieros.

En tanto, la Resolución N° 1604/17 autoriza a la Bolsa de Valores y Productos de Asunción, la negociación de contratos de futuros Guaraní-Dólar de los Estados Unidos de Norteamérica, con las especificaciones contenidas en la Resolución N° 1604/17 de la Bolsa de Valores de Asunción.

It is worth mentioning the active participation of Cynthia Fatecha, member of Vouga Abogados, in advising the Bolsa de Valores y Productos de Asunción S.A. in the issuance of the aforementioned resolutions.

Como archivo adjunto se encuentra la Resolución N° 8 E/17 de la Comisión Nacional de Valores así como la Resoluciones N° 1602/17, 1603/17 y 1604/17 de la Bolsa de Valores y Productos de Asunción S.A., y en caso de consulta o requerir aclaración, favor no dude en contactar al respecto con Cynthia Fatecha (cfatecha@vouga.com.py).

El Ministro de Obras Públicas (MOPC), Ramón Jiménez Gaona, anunció la Licitación Internacional para el mes de mayo, del Proyecto Costanera Sur de la ciudad de Asunción, el cual prevé la construcción de una avenida de 7,9 km de extensión con cuatro carriles y un paseo central de 15 metros de ancho, así como la edificación de 5.000 viviendas sociales.  El proyecto es resultado de un convenio firmado en el 2016 entre el MOPC y la Itaipú Binacional. 

El proyecto será licitado en los términos de la Ley 5074/13 «Llave en mano», en el que el oferente se hace cargo de las obras y también del financiamiento, con una inversión estimativa de USD. 180 millones. 

En total serán intervenidas unas 110 Ha., y las obras se iniciarían en mayo con los trabajos de refulado (relleno) de un primer sector de 30 Ha., a cuenta de Itaipú Binacional, que financiará también las primeras viviendas a construirse en ese sitio para unas 2.000 familias, en principio. Igualmente, se incluirá un plan de cierre definitivo del relleno sanitario Cateura, con sus instrumentos de implementación y monitoreo, además del diseño Ejecutivo de un parque para recreación y esparcimiento en la zona del cerro Tacumbú.

El ministro de Obras Públicas, Ramón Jiménez Gaona, agregó que se trata de una obra muy importante, tanto en lo social como en lo vial, para el mejor aprovechamiento de Asunción, ya que unirá la capital con el cerro Lambaré, en un trayecto de casi 8 km, que junto a las 5.000 viviendas sociales, suman 110 hectáreas a ser intervenidas.

Paralelamente a la inversión del MOPC, la entidad Binacional Itaipú invertirá unos 70 millones de dólares en el proyecto.

En caso de que requiera mayor información, no dude en contactarnos.