Last of Greek roads signed
Syndication of the Eu1.613 billion ($2.03 billion) project debt for the last of Greece's Eu7 billion programme of toll road concessions – the Eu2.813 billion Elefsina-Korinthos-Patras-Pyrgos-Tsakona PPP – has signed, ending a process that began in February.
Sponsored by the Olympia Odos consortium – comprising Vinci (36%), Hochtief PPP Solutions (25%), Aktor Concessions (18%), J&P-Avax (18%) and Athena (3%) – the 30-year concession is for 365km of road, of which 82km already exists, 163km is to be built and 120km upgraded. The existing roadways from Elefsina to Korinthos provide a revenue base for the project. The stretch has historical traffic growth of around 7% per year over the last 10 years.
Lead arranged by Alpha Bank, Calyon, Millennium BCP and Natixis, the facility closed around 20% oversubscribed. The loan was launched into a market far more benign than the current one, and most of the banks had committed by early May. But signing was delayed after the carve-out of a Eu200 million tranche, which was provided by the EIB at a later stage, and the intervention of the Greek government, which questioned details of the construction. Financial close and first drawdown took place on 10 August.
The deal comprises a 13-year Eu1.186 billion term loan, a Eu364 million 6.5-year state bridge and a Eu62 million 13-year standby facility. The weighted average margin is unchanged from February at just over 100bp over Euribor. Lenders were offered tickets of Eu75 million as arrangers, Eu50 million as co-arrangers and Eu25 million as...
Thank you for printing this article from IJGlobal.
As the leading online publication serving the infrastructure investment market, IJGlobal is read daily by decision-makers within investment banks, international law firms, advisory firms, institutional investors and governments.
If you have been given this article by a subscriber, you can contact us through www.ijglobal.com/signup, or call our London office on +44 (0)20 7779 8870 to discuss our subscription options.
Thank you for your interest in using My IJGlobal.
As your firm uses IP recognition, you will need to sign in with your own unique login and password. If you do not have your own login details, please click here to register.
Alternatively, contact the IJGlobal Helpdesk on +44 (0)20 7779 8870 or email Helpdesk on email@example.com.