Financial close for Scottish road PPP project
The M8, M73 and M74 motorway improvements PPP project in Scotland reached financial close financed by a group of investors managed by Allianz Global Investors and the European Investment Bank (EIB).
On August 20, 2013, Transport Scotland announced that Scottish Roads Partnership (SRP) - a consortium formed by Amey Ventures Asset Holdings Limited, Cintra Infraestructuras S.A, Meridiam Infrastructure Finance II and SWIP Infrastructure Funds - was selected as preferred bidder for M8 M73 M74 motorway improvements DBFOM.
This contract, with a net present value of £500 million (US$831 million) and which includes operation and maintenance of the project roads over 30 years, including 3.5 years for construction, is the first roads infrastructure scheme and the largest contract awarded as part of the Scottish Government's £2.5 billion (US$4.1 billion) Non-Profit Distributing (NPD) model.
The estimated investment for the project is £415 million (US$690 million). Construction costs are now £105 million (US$175 million) below original estimates.
The project will complete the motorway network between Glasgow and Edinburgh by upgrading the A8 Baillieston to Newhouse. It also includes work to improve the Raith Interchange and widening key sections of the M8, M73 and M74. When completed the new section of road will shave up to 18 minutes off journeys at peak times for vehicles using this busy sections of the M8 each day.
The project is currently on track to be completed by Spring 2017.
Country news
-
-
February 17, 2014
Ferrovial in $1.3 billion bid for British airports
According to Spanish newspaper Expansion, Spanish infrastructure group Ferrovial has offered Heathrow Airport Holdings (HAH) 800 million pounds ($1.3 billion) for British airports Aberdeen, Glasgow and Southampton. Read more -
February 18, 2014
Bilfinger Berger fund completes acquisition of three PFI projects
Bilfinger Berger Global Infrastructure SICAV S.A. (BBGI) has announced that it has completed the acquisition of additional interests in three PFI/PPP projects from Assura Group Limited, as previously indicated on 25 November 2013. Read more -
February 18, 2014
Parsons Brinckerhoff announces hires in London and New York
Raymond Moore has been named a Senior Professional Manager in the New York City office of Parsons Brinckerhoff. Read more -
February 18, 2014
PQQs sought for fourth PF2 school batch
The UK Department for Education is requesting Pre-Qualification Questionnaires (PQQs) for the fourth batch of privately financed schools in the country under the PF2 model. Read more -
February 19, 2014
Kier's CEO steps down
UK construction group, Kier, announced yesterday that Paul Sheffield will step down as chief executive and from the Board with effect from 30 June 2014. Read more
