BAM consortium reaches financial agreement

The National Roads Authority and a BAM PGGM Iridium consortium has reached financial close on the M11 Gorey to Enniscorthy public-private partnership (PPP) project in Ireland.

The €400 million project will involve the design, construction, financing, operation and maintenance of a 31.4km dual carriageway. It will also involve the design, construction and financing of an 8km single carriageway.

The M11 Gorey to Enniscorthy scheme will form a strategic component of the motorway network, providing a high-quality safe link within the south east region of Ireland, BAM said.

A total of €248 million was provided by European Investment Bank (EIB) lending, and Société Générale, the French multinational banking and financial services company, arranged an equity bridge facility. Société Générale acted as sole note arranger for the €113 million of secured notes which were privately placed with three institutional investors. Société Générale was also sole swap provider for the €27 million equity bridge facility. BAM PPP PGGM Infrastructure and Iridium Concessiones de Infraestructuras are committing €27 million in equity to the project.

A BAM Civil and Dragados Ireland joint venture will carry out the construction which will begin in January 2016, with the project expected to provide around 2,500 jobs across Ireland, it said. The operations phase will start in August 2019, followed by a 25-year concession period.