Spanish Ministry of Transport and Public Works is working "in extremis" to prevent the closure of the R-3 and R-5 radial highways developed under the concession model.

In accordance to a resolution of the Commercial Court number 6 of Madrid, the two highways would be closed to traffic on October 1, 2016.

The Ministry has begun intense negotiations with the consortium in charge of the concession in order to ensure continuity of the highways services. The consortium is formed by Abertis, which has a 35% stake in the concessionaire (Accesos de Madrid). Sacyr owns 25% and Bankia and ACS 20% each. 

As we reported in May, the Commercial Court number 6 of Madrid, Spain, stated that the radial highways R-3 Madrid-Arganda and R-5 Madrid-Navalcarnero, and the Alicante bypass highway will be closed to traffic on October 1, 2106 if the Spanish Infrastructure Ministry (Fomento) does not assume the management of roads before that date. 

The Alicante bypass highway concessionaire (Ciralsa) is controlled by ACS, with 50%, and by Abertis and Globalvia, with 25% each.

In mid June we informed that CaixaBank sold the debt from R-3 Madrid-Arganda, R-5 Madrid-Navalcarnero and Alicante bypass to distressed investors. According to sources, the bank sold approximately €100 million (US$112.5 million) of debt to Taconic Capital.

There are a total of nine toll roads in bankruptcy in Spain at this moment:

• 4 radial highways in Madrid, R-2, R-3, R-4, and R-5
• Alicante bypass highway
• M-12 Barajas Airport - Madrid highway
• Madrid - Toledo highway
• Cartagena - Vera highway
• AP-36 Ocaña - La Roda

In 2014 the Spanish government announced plans to group the bankruptcy road concessions under the same vehicle which would have a total debt of €3,800 million. After this process, the government aimed to get a debt haircut of 50% and refinance the rest with the launch of 30 years bonds. Spanish banks including Banco Santander, BBVA, La Caixa, Banco Popular, Sabadell and Bankia, were willing to accept the discounts but the Association of Spanish contractors (Seopan), whose members own most of the concessions, rejected this solution.