Strabag JV Devimar achieves financial close on Colombian road project
March 26, 2019 – Desarrollo Vial al Mar (Devimar), the concession holder for the 176km Autopista al Mar 1 highway project in Colombia, has secured $713m financing for the public-private partnership (PPP) toll road project.
Devimar, a joint venture between Sacyr (Spain, 37.5%), Strabag (Austria, 37.5%) and Concay (Colombia, 25%), won the Autopista project from the Colombian National Infrastructure Agency in 2015 and has secured the funding from seven international banks and one national bank.
The international and national financial institutions participating in funding are: Financiera de Desarrollo Nacional (FDN, Colombia); Instituto de Crédito Oficial (ICO, Spain); KfW IPEX-Bank (Germany); BID Invest (multilateral bank); CAF (Latin American Development Bank); Sumitomo Mitsui Banking Corporation (SMBC, Japan); Société Générale (France); and BlackRock (Debt Fund Colombia).
Devimar CEO Jesús Rodríguez Robles said: “This financial close is a very important achievement for Devimar. We are proud to receive such confidence from national and foreign banks, which underscores the solidity of the project Autopista al Mar 1.
“We are deeply satisfied with the progress of the construction since the outset. Our venture will bring long-lasting development to Antioquia and Colombia and will have a positive impact in the wellbeing of their people.”
The toll road project is under construction, with 30% overall progress through more than 130 work fronts. The project is expected to create more than 2,200 direct and indirect jobs.
Autopista al Mar 1 project includes the construction of a motorway between Medellín and Santa Fe de Antioquia and a parallel, 4.6km tunnel at the Túnel de Occidente to improve traffic in and out of Medellín.
The concession contract also includes the rehabilitation and operation and maintenance (O&M) of the 176km concession road.
The Autopista al Mar 1 toll road project is part of the Vías de la Prosperidad (motorways for prosperity) programme in Antioquia, which is expected to bring multiple benefits for the country and the region.
The programme is expected to improve road security and travel times in the area; reduce transport costs; and bring Medellín closer to the Urabá port on the Caribbean Coast.
Devimar is in charge of the design, financing, environmental and social management, land acquisition, construction, rehabilitation, O&M of the Autopista al Mar 1 project.