This article is part of a daily series of MegaProjects articles. If you want to know more about PPP projects with a considerable size visit our MegaProjects section. You can receive them by email on a daily basis.

VINCI Concessions’ international highways subsidiary has announced it has acquired a toll road in Peru from Brazilian group INVEPAR.

VINCI Highways has finalized the acquisition of 100% of LAMSAC company, the concessionaire-holder of Línea Amarilla, a 25 km toll road around the center of Lima, and PEX, LAMSAC’s electronic toll collection operator.

The deal is based on an enterprise value of LAMSAC and PEX at PEN5.5 billion (US$1.61 billion) as of 31 December 2015.

As we reported, the agreement was announced in August between the companies.

LAMSAC holds a concession contract with the Municipality of Lima to build, operate and maintain the Línea Amarilla until November 2049.

In 2016, traffic on LAMSAC averaged 139,300 vehicles/day. It will further increase following the completion of a new section between the existing toll road and Callao harbour. With an average annual growth rate of more than 6% over the past 10 years, Peru offers a strong growth potential.

This transaction is part of VINCI Concessions’ strategy of expansion in an area with strong growth potential. On 21 April 2015, VINCI Airports notably won the concession contract for the international airport in Santiago de Chile as part of a joint venture, which began operating the airport in October 2015. The construction of a new terminal, which will get under way soon, is expected to double the airport's capacity.

More broadly, this transaction reflects the VINCI Group's expansion goals in Latin America. With the acquisition of the Brazilian Orteng Engenharia e Sistemas company in March 2015, VINCI Energies began operating in Brazil, where it has become a leader in services linked to energy and industry. More recently, the group formed a strategic partnership with Constructora Conconcreto, a leading Colombian construction and real estate development company, to help support Colombia’s major road infrastructure development projects.