Natixis had advised Siram (Veolia Group) to reach financial close for university hospital PPP in Italy. The project has an hybrid structure combining a €32 million (US$34 million) loan and a €40 million (US$43 million) project bond.

The hospital project will also provide district heating services to the local municipality. The concessionaire is responsible for the build-Operate-Transfer (BOT) of a 38MW tri-generation thermal power plant, which has been operational since 2012, that provides heating and electricity for the hospital, university and a section of the town.  

Natixis acted as sole MLA, underwriter and bookrunner for the project. The concessionaire was advised by Florence-based law firm Alberto Bianchi e Associati. Legance (legal) advised Natixis in the structuring and underwriting. BNP Paribas, advised by Ashurst, acted as the bond account bank.

Udine is not the first hospital to use a project bond. In August 2015, we reported that Pessina Costruzioni has closed the refinancing for the New Garbagnate Milanese Hospital PPP project in Milan through a US$30 million bond with a maturing period of 15 years.

The bond, whose arranger and bookrunner was the French investment bank Natixis, was sold to foreign institutional investors. 

The project also included the construction of laboratories spanning 15,000 square metres and 240 square metres of solar PV on the hospital buildings' rooftops, with an annual electric output of 26.4MWh. Siram was awarded the 30-year concession in 2010.