The state of São Paulo, through the Secretaria de Saúde, has announced that three bidders have been qualified and approved for two PPP contracts involving hospital projects in Sao Paulo.

The projects are tendered in two packages:

• Package 1: Hospital Estadual de Sorocaba, and
• Package 2: Hospital Estadual de São José dos Campos and Hospital Centro de Referência da Saúde da Mulher - HCRSM.

Four teams had submitted proposals for the contracts but the Consortium IBT / Carimex composed by International Business & Trade, LLC and Carimex, LLC has not been approved. The other three qualified companies are the following:

• Mendes Junior Trading and Engineering S. A., Planova Planning and Construction SA, Gocil Services Surveillance and Security Ltda.,
• Construcap CCPS Engenharia SA Trade, and
• Odebrecht Participações e Investimentos SA.

With the exception of the consortium of Mendes Junior, which had just bid for Package 1, all other bidders submitted bids for both lots.

The concession will be valid for 20 years. The estimated values (sum of annual revenues) of the packages are:

• Package 1,  R$ 1.887.592.000 (US$867 million)
• Package 2: R$ 3.221.224.000 (US$1.48 billion).

The estimated investment for the projects are the following:

1. Package 1: Hospital Estadual de Sorocaba - R$248.4 million (US$114 million)
2. Package 2: Hospital Estadual de São José dos Campos - R$217.1 million (US$100 million)
3. Package 2: Hospital Centro de Referência da Saúde da Mulher - HCRSM - R$306.7 million (US$141 million)

Construction is estimated to last for 30 months.