Abstract

In this article the author discusses financial questions deemed as key issues, and
that should be carefully analyzed in highway privatization projects within the Brazilian reality.
Expected returns, compared tariffs, costs, demand and capital structure are the core
on this work. The author performs a simulation exercise based on one of the cases most
frequently remembered as a candidate to privatization in the State of São Paulo: the system
comprising the Anchieta and the Imigrantes Highways, which make a connection between
the City of São Paulo and the City of Santos, on the coast. The author’s conclusion indicate
that it is a feasible undertaking, provided that some restrictions/innovations are included in
its design.

JEL Classification: L33; L92.