Transurban announced on June 18th that Lane Cove Tunnel (LCT) has reached financial close on the refinancing of $260 million of debt that was due to mature in August 2013. LCT is 100% owned by Transurban.

The new $260 million of debt has been provided by Commonwealth Bank of Australia, The Bank of Nova Scotia Asia Limited and Westpac Banking Corporation, and has a three year maturity.

Transurban CFO Samantha Hogg said "This re-financing was successfully executed on attractive terms that will deliver a material cost saving to LCT and reflects LCT's strong performance since Transurban's acquisition in 2010 as well as its positive growth outlook."

The Lane Cove Tunnel is a A$1.1 billion, 3.6 km twin tunnel tollway in Sydney, Australia, connecting the M2 Motorway at North Ryde with the Gore Hill Freewayat Artarmon. It forms part of Sydney Metroad 2 and the 110 km Sydney Orbital Network. Connector Motorways was the owner and manager of the Lane Cove Tunnel and Falcon Street Gateway and were going to operate the tunnel concession until 2037. The company went into receivership in January 2010 after a string of losses. Transurban bought the tunnel in May 2010 for $630 million and became the new operator. 

Source: Transurban