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Colombia's National Infrastructure Agency (ANI) has approved the financial closure of the Santa Ana - Mocoa - Neiva highway PPP project by the concessionaire Concesión Aliadas para el Progreso SAS for COP1.35 billion (US$462 million).

The closure was achieved through funding commitments issued by: Bancolombia SA, Financiera de Desarrollo Nacional (FDN), Davivienda Bank and the International Finance Corporation (IFC).

Aliadas para el Progreso SAS is formed by CASS Constructores and Cia (30.78%), Carlos Alberto Solarte Solarte (35.74%), Estyma SA (10.00%), Latinoamericana de Construcciones SA (15.38%) and Alca Ingeniería S.A.S. (8.10%).

The project involves the development of 22 km of four-lane highway, 32 km of two-lane highway and the renovation of a 422 km road. It also includes the development of 3 tunnels and 53 bridges and viaducts. The road is expected to reduce travel time between Bogota and Quito by 6 hours from 26 h to 20 h.

The Santana Highway - Mocoa - Neiva is the third project belonging to the Second Wave of the Fourth Generation (4G) of concessions to reach the financial close. The second wave of 4G highway projects includes 10 concessions. The full 4G involves the construction of 8,000km of roads, including 1,200km of four-lane highways, with the majority of projects to be carried out as PPPs.

In late August we informed that FDN also confirmed bank guarantees for the Santander de Quilichao - Popayán highway PPP project.