MegaProject 714: CaixaBank sells debt from Spanish highway concessions
- Taconic Capital
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According to the local press in Spain, CaixaBank has sold its debt from Spanish highways R-3 Madrid-Arganda, R-5 Madrid-Navalcarnero and Alicante bypass to distressed investors.
According to sources, the bank has sold approximately €100 million (US$112.5 million) of debt to Taconic Capital, an opportunistic global institutional investment firm.
This announcement comes after the Commercial Court number 6 of Madrid stated that the three highways would be closed to traffic on October 1, 2106 if the Spanish Infrastructure Ministry (Fomento) does not assume the management of roads before that date.
The R-3 and R-5 radial highways are controlled by Abertis, which has a 35% stake in the concessionaire (Accesos de Madrid). Sacyr owns 25% and Bankia and ACS 20% each.
On the other side, the Alicante bypass highway concessionaire (Ciralsa) is controlled by ACS, with 50%, and by Abertis and Globalvia, with 25% each.
There are a total of nine toll roads in bankruptcy in Spain at this moment:
- 4 radial highways in Madrid, R-2, R-3, R-4, and R-5
- Alicante bypass highway
- M-12 Barajas Airport - Madrid highway
- Madrid - Toledo highway
- Cartagena - Vera highway
- AP-36 Ocaña - La Roda
In 2014 the Spanish government announced plans to group the bankruptcy road concessions under the same vehicle which would have a total debt of €3,800 million. After this process, the government aimed to get a debt haircut of 50% and refinance the rest with the launch of 30 years bonds. Spanish banks including Banco Santander, BBVA, La Caixa, Banco Popular, Sabadell and Bankia, were willing to accept the discounts but the Association of Spanish contractors (Seopan), whose members own most of the concessions, rejected this solution.