Posts Tagged Software

Recent and upcoming investment in Mexico

Information collected from media reports over the past month:

  • Glass: Mexican glass manufacturer Grupo Millet reported plans to construct a new production plant in the southeastern state of Yucatan. The US$70 million site will produce architectural glass for export to the United States and elsewhere in Latin America. (El Financiero, January 25, 2017)
  • Casual dining: Mexico’s leading casual dining franchise operator Alsea plans investment of approximately US$190 million to open a record number of new locations across its portfolio in 2017, the company reported. Plans include some 250 new stores, in formats such as Starbucks, Burger King, Domino’s Pizza, Chili’s and others. (Reforma, January 24, 2017)
  • Technology: U.S.-based Deloitte Consulting inaugurated a regional service delivery center in the central Mexican state of Querétaro. The US$10 million center is planned to provide development, testing, support and maintenance services for the firm’s application maintenance, enterprise resource planning (ERP) and IT consulting clients throughout the Americas. (El Economista, January 25, 2017)
  • Natural gas: Mexican fuel distribution company Grupo Energéticos (Energex) plans to build four service stations to offer vehicular natural gas in the country this year, the company reported. The US$4 million project will provide compressed natural gas for vehicular use as an alternative to conventional gasoline, which has risen sharply in price during the current year. (Reforma, January 23, 2017)
  • Energy: Spanish energy infrastructure developer Iberdrola will invest approximately US$600 million to construct an electricity generation plant in the northeastern state of Nuevo León, the company reported. The combined cycle plant is planned to be powered by natural gas. (Mundo Ejecutivo, January 19, 2017) Read the rest of this entry »

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Venture investing in tech startups in Mexico

AppGuadalajara’s thriving software industry has become a nearshoring hub for a growing number of Silicon Valley companies in recent years. The cross-pollination of eager local nerds with speakers at events such as Startup Weekend and Hackers/Founders meetups has put stars in the eyes of young would-be entrepreneurs, who dream of becoming the next Mark Zuckerberg, or at least Or Arbel. But fortunes in Mexico traditionally have been built on personal relationships between wealthy families and powerful political allies, not the creativity of geeks. As a result, when it comes time to launch the next big thing out of a code shop in Zapopan, there’s still a lot of head-scratching going on about the details of how it all is supposed to happen.

This week we re-post by permission a presentation by tech founder Andy Kieffer, who is playing a key role in the emergence of the Guadalajara app-development and venture capital scene. Kieffer is co-founder and CEO of Guadalajara-based software developer Agave Lab and serves as General Partner of Agave Lab Ventures, a fund for early stage investment in startups. Here he provides some thoughts on the challenges to harnessing the nascent tech-startup enthusiasm in Mexico in a way that will help build a profitable and sustainable model for innovation and entrepreneurship in the country: Read the rest of this entry »

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Recent and upcoming investment in Mexico

Information collected from media reports over the past month:

  • Chemicals: Mexican industrial group Cydsa will invest US$200 million through 2013 to open a new factory and upgrade existing infrastructure, the company announced.  Plans include a new facility to produce bleach and caustic soda as well as projects for the transport and storage of gas from the United States and Canada. (El Financiero, June 19, 2012)
  • Autoparts: German auto parts maker Robert Bosch plans investment of approximately US$140 million in its Mexico operations this year, based on projected domestic sales growth of 10 – 15%.  The company operates eight manufacturing plants around Mexico. (El Financiero, June 20, 2012)
  • Software: U.S. corporate group General Electric will invest US$30 million to expand its Advanced Turbomachinery Engineering Center in the central Mexican state of Querétaro.  The center develops software for GE’s aviation and energy divisions. (El Financiero, June 28, 2012)
  • Aerospace: U.S.-based coatings engineers Ellison Surface Technologies will open a new thermal spray coating and special process facility in the northern state of Sonora, the company announced at the Farnborough air show.  The US$1.5 million location is planned to provide heat treatment and special processes for aerospace components. (El Siglo de Torreón, July 10, 2012)
  • Green building: Spanish bank BBVA has initiated construction of a new corporate tower and a new operations center in central Mexico City, to be built at a combined cost of approximately US$900 million.  The 50-floor corporate building is planned to be LEED-certified, including advanced technology for air quality and reduced consumption of water and electricity. (Reforma, July 6, 2012) Read the rest of this entry »

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Mexico joins Wassenaar Arrangement on export controls

Made in Mexico, one of these days

Made in Mexico, one of these days

Effective January 20, 2012, Mexico was admitted to the Wassenaar Arrangement on Export Controls for Conventional Arms and Dual-Use Goods and Technologies.  It may sound like an arcane treaty of interest only to trade policy eggheads, but it actually stands to have concrete impact on some of Mexico’s most advanced manufacturing industries and their foreign business partners.

The Wassenaar Arrangement is an agreement among 41 manufacturing countries to abide by common guidelines intended to enhance transparency and responsibility in the exportation of arms and “dual-use” goods and technologies, which means those which could be used for both civilian and military applications.  For example, a chemical used in plastics manufacturing that could also be used in chemical weapons would be considered a dual-use good.  Participants in the arrangement must each implement their own internal controls and procedures domestically in compliance with the guidelines of the arrangement.  Mexico applied for admission in June 2011, and was accepted as a member after implementing a system of export permits and reporting applicable to arms and dual use goods which entered into effect in October 2011. Read the rest of this entry »

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Recent and upcoming investment

Information collected from media reports over the past month:

  • Automotive: German auto parts manufacturer Robert Bosch projected investment in its Mexico operations at US$78 million for 2011.  The resources are earmarked to support introduction of new technologies and preparation for the manufacture of new brake pad and battery products at the company’s 13 Mexico production locations. (El Informador, September 29, 2011)
  • Aerospace: Canadian aircraft maker Bombardier announced it will invest US$50 million to outfit its Queretaro plant to produce the aft fuselage for its new generation of long range business jets.  Mexico is now producing major composite structures for the company’s Learjet 85, such as fuselage lay-up and subsystem installation, wiring harness fabrication and installation, wing assembly and horizontal and vertical stabilizer assemblies. (The Montreal Gazette, October 25, 2011)
  • Recycling: Germany-based industrial services firm Ferrostaal AG announced plans to build a tire recycling plant in Mexico.  The facility will convert used vehicle tires into rubber granules for potential use in the manufacture of sports and recreation surfaces, soundproofing insulation or water hoses, among other uses.  The amount of investment in the new plant was not specified. (Ferrostaal, September 26, 2011)
  • Mining: Minera Autlán, subsidiary of Mexican mining group Grupo Ferrominero (GFM), is projecting investment in its Mexico mining operations of up to US$300 million over the next five years.  GFM’s energy subsidiary GFM Energía also plans to build three hydroelectric plants and one wind power generating plant in the coming years. (Reforma, October 6, 2011)
  • Steel: U.S.-based Steel Technologies announced plans to build a new steel processing facility in the northeastern state of Nuevo León.  The US$78 million plant is planned to provide steel cutting and surface treatment services for the region’s thriving automotive industry. (NAFTA Works, October 2011) Read the rest of this entry »

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