Mexico Telecommunications: Red Troncal Project Bid Update—Final Guidelines Released

On June 29, 2018, the final bidding guidelines for Mexico's telecommunications backbone network (Red Troncal) project were released.

Final Guidelines

Pursuant to the final bidding guidelines, potential bidders will need to submit a performance bond for $80 million pesos (considerably lower than the amount established in the preliminary guidelines, which was $200 million pesos).

Minimum coverage must be of at least 80 percent of Mexico's national gross population (regardless of territory). All potential bidders must obtain a favorable opinion in antitrust matters in order to submit a proposal for the bid. A Mexican SPV must be formed by the winning bidder to receive the PPP contract and license. A group of bidders may participate together as long as a consortium is created and all members provide the documentation required under the guidelines.