Allen & Overy LLP’s New York office and Colombia’s Brigard & Urrutia Abogados have helped Israeli infrastructure company Shikun & Binui and its Colombian concessionaire subsidiary reach a combined US$452 million financing agreement with a group of lenders to fund the construction and operation of a toll road in Cundinamarca, central Colombia.
The Inter-American Development Bank (IDB), Bancolombia, CorpBanca and Financiera de Desarrollo Nacional (FDN) led a group of lenders. All four retained Clifford Chance LLP’s Washington DC and London offices and Philippi Prietocarrizosa Ferrero DU & Uría’s offices in Colombia, Chile and Peru. FDN, which is Colombia’s infrastructure development bank, also hired Holland & Knight LLP’s New York, Miami and Bogotá offices, in its role as liquidity facility lender.
The debt financing package includes a US$156 million credit facility denominated in US dollars and supplied by the IDB, as well as two Colombian peso-denominated facilities for 870 billion and 45 billion pesos respectively, supplied by Bancolombia, CorpBanca and FDN. The loan closed on 25 May.
The complete toll road runs approximately 160 kilometres through the municipalities of Bogotá, La Calera, Guasca and Sopó, finishing in Briceño. The project includes both the upgrade and expansion of existing road sections and the greenfield construction of other parts, including eight bridges. The project’s total cost is estimated at US$700 million.
Shikun & Binui won the concession to build the highway back in 2014, turning to Brigard & Urrutia for the successful bid. The road is part of the Colombian government’s fourth generation (4G) road infrastructure plan, which is expected to deliver 7,000km of roads through public private partnerships over the next eight years, requiring an investment of U$14.1 billion.
Counsel to Shikun & Binui and Perimetral Oriental de Bogotá
Allen & Overy LLP
Partners Kent Rowey and Dorina Yessios and associates Richard Carlucci and Leona Say in New York
Brigard & Urrutia Abogados
Partners Manuel Fernando Quinche and Carlos Umaña, and associates Juan Martin Estrada, Julián Parra and Laura Clara Loaiza in Bogotá
Counsel to the Inter-American Development Bank, Bancolombia, CorpBanca and Financiera de Desarrollo Nacional
Clifford Chance LLP
Partner Fabricio Longhin and associate Jessica Springsteen in Washington, DC and associate Lauran Smith in London
Philippi Prietocarrizosa Ferrero DU & Uría (Colombia)
Partner Juan Fernando Gaviria and associates Carolina Duque, Margarita Lorduy, Erika Serrano, Paula Buriticá, Ana Maria Sanchez, María José Ariza, María de Bedout, Andrea Castillo, Paula Morales, Gabriel Aguilar, Isabella Ariza, Silvia Avendaño, Andrea Sánchez and Laura Isaza in Bogotá
Philippi Prietocarrizosa Ferrero DU & Uría (Chile)
Associate Florencia Esquerré in Santiago
Philippi Prietocarrizosa Ferrero DU & Uría (Peru)
Associate Gabriela Cuadros in Lima
Counsel to Financiera de Desarrollo Nacional
Holland & Knight LLP
Partner Norberto Quintana and associate Laura Güemes in New York and senior counsel Gabriel Caballero in Miami
Holland & Knight (Colombia)
Partner Enrique Gómez-Pinzón and associate Juliana Saa in Bogotá