A Closer Look at Opportunities in Peru

A map of Peru

A map of Peru (Photo credit: Wikipedia)

I just returned from a successful trip to Lima where I had the opportunity to meet with the management team of our listed and prospect companies, local bankers and lawyers. In addition, I participated in a seminar co-sponsored by JP Morgan, Davis Polk and i-Advise. The seminar was very successful, we had over 40 executives in attendance. The speakers addressed key topics related to the process and benefits for Peruvian companies to list in the U.S. In addition, I was also featured in two prominent Peruvian newspapers (see here and here)

The interest in Peru has increased dramatically in the last few years. Here at the NYSE, trading on our Peruvian issuers have increased accordingly as global investors looking to diversify their holdings and are looking at our Peruvian issuers as a proxy to invest in Peru. We listed Cementos Pacasmayo (NYSE: CPAC), a leading Peruvian cement company, on February 8, 2012. Cementos Pacasmayo was the fifth company from Peru to list in our market. (that's compared to about 30 Brazilian companies)

Peru's $150 billion economy is one of the world's fastest growing. Other fun facts (source: US Department of State):

  • Peru is the third-largest country in South America and is approximately three times the size of California.
  • Population (2011): 29.8 million. Close to 30% of the population lives in the Lima/Callao metropolitan area.
  • Peru’s exports of goods reached $35.1 billion in 2010, partly as a result of recovering mineral prices. Peru's major trading partners are the U.S., China, EU, Switzerland, Canada, and Japan.
  • Peru is a source of both natural gas and petroleum
  • About 350,000 U.S. citizens visit Peru annually for business, tourism, and study. About 22,000 Americans reside in Peru, and more than 400 U.S. companies are represented in the country.