Alonso Quintana Kawage, CEO of Mexico’s cash-strapped construction company ICA, is leaving his post, sources familiar with the matter said, as the company struggles to renegotiate its multi-billion dollar debt load.
The move is part of a wider organizational restructuring. One source said that current co-chief Executive Alfonso Gonzalez Migoya would remain at the helm, while another said on Monday veteran company executive Luis Zarate would be appointed CEO.
One source said that Quintana would remain on ICA’s board.
The company, which has defaulted on about $60 million in interest payments since December, saw its net debt reach 51.147 billion pesos ($2.97 billion) in the third quarter as a slump in the peso caused its dollar debt value to balloon.
Aided by Rothschild and FTI Consulting, ICA, which has also been hit by a slump in government infrastructure spending, is drawing up a restructuring plan.
The company has made offers to restructure debt to banks, according to two sources and a document seen by reporters.
Alonso Quintana Kawage, grandson of the founder of Mexico’s largest construction firm, took ICA’s helm in 2012 and has been criticized for presiding over the company’s steep slide into debt.