The Stock Market Impact of FIBRAs: An Expert's Perspectives on FNOVA's Listing in BIVA

Beyond extraordinary benefits and despite the potential cost savings, the listing change presents significant challenges for FIBRA Nova. The company must balance potential economic benefits against the costs of moving to a smaller stock market.

Rodriguez notes that the BMV has a market capitalization of about $600 billion, while BIVA's is less than 10% of that amount. This means there are more and larger participants in the BMV, translating to greater potential liquidity and infrastructure. However, BIVA's smaller market capitalization does not necessarily represent a disadvantage. In fact, this situation may offer FIBRA Nova a more agile platform and greater visibility within a smaller market. While BIVA has yet to achieve the growth targets initially envisioned, it has actively worked to attract issuers by simplifying listing procedures and reducing costs associated with maintenance, financial information publication, and other services. These measures are designed to make the listing process more accessible and cost-effective, appealing to companies seeking efficiency and more personalized service.

In contrast, the stock market specialist noted that although the National Banking and Securities Commission still needs to give its approval and verify that everything is in order, the transition will be relatively straightforward in regulatory terms because the regulations are the same for both exchanges and all listed or to-be-listed issuers.

It's not just FIBRA Nova that stands to gain from its listing change. According to Rodriguez, BIVA is set to profit too, with the introduction of the trust led by Guillermo Medrano.

“At the end of the day, the more issuers listed on BIVA, the more revenue and profits it will have from listing and maintenance fees. It also has a reputational aspect. In this case, we see that Grupo Bafar and FIBRA Nova are moving to BIVA, which could spark more appetite or interest from other issuers, especially with the possibility of reducing some costs. It's even possible that other FIBRAs are considering a listing change. We have already seen some direct placements, mainly related to CKDs or smaller or less-known trusts like Agrofibra and FIBRA Soma.

Beyond the change in listing, the Roga Capital expert discussed the impact of FIBRAs on the stock markets. In this regard, Rodriguez explained to SiiLA REsource that "The weight of FIBRAs is meager if compared to the general market, not only in terms of the number of issuers but also in terms of capitalization value, as these trusts represent around 4% or 4.5% of the $600 billion market value of BMV. However, although the FIBRA market is still tiny, since they emerged in Mexico in 2011, these investment vehicles have been essential for the entire infrastructure and construction sector, especially linked to industrial assets, offices, and shopping centers, thereby contributing to the diversification and strengthening of Mexico's stock market.

"For more information on the performance of FIBRAs in Mexico, explore SiiLA FIBRA Analytics or contact us at contacto@siila.com.mx.