Spanish construction company Sacyr said Monday that it picked up a COP3.66 trillion ($900 million) sustainable financing deal to fund the construction of a toll-road project in Colombia.
JPMorgan was the structuring agent on the deal, which included the participation of IDB Invest, IFC, Bancolombia, BBVA, as well as Colombian state-owned lenders Financiera de Desarollo Nacional and Bancoldex, the company said Monday in a press release.
“The financing includes sustainability indicators, such as the reduction of polluting gas emissions and the hiring of women in the areas of influence,” it said.
The loan’s tenor and other pricing details weren’t disclosed and Sacyr did not immediately respond to a request for additional information.
IDB Invest said it was the biggest single lender on the project, providing a loan of 1.27 trillion Colombian pesos.
The Washington, DC-based bank said in a press release that the financing it provided was structured as a local-currency loan under a mini-perm scheme. It has a term of up to eight years, including a four-year grace period.
“This structure enables the mobilization of additional resources in the capital markets after the construction phase, expanding access to long-term financing for road infrastructure,” the lender said.
KEY HIGHWAY
A Sacyr-owned concessionaire, Camino del Pacífico, will use the proceeds to upgrade and expand a 244-kilometer highway that connects the Colombian cities of Buenaventura, Loboguerrero and Buga.
“The project is expected to reduce travel times by an average of 10% along one of Colombia’s most strategic corridors, which connects the country’s interior with the port of Buenaventura, and to lower vehicle operating costs by 6%,” said IDB Invest.
In March, the concessionaire asked IFC to provide $200 million in local currency to help fund the project, which is expected to cost COP4.2 trillion.
Sacyr reached an agreement in June to sell three other toll road concessions in Colombia to UK investment firm Actis for $1.6 billion.