The Brescia-Bergamo-Milano highway concession (Brebemi A35) motorway is set to close a guaranteed bond loan for a total amount of EUR1.679 billion (US$1.853 billion).
The bond loan consists of a Class A1 tranche at a variable rate secured senior that will mature in 2038, a Class A2 tranche with a fixed secured senior with secured maturity by 2038, a Class A3 senior secured tranche zero-coupon that matures in 2042, and a subordinated secured tranche at a variable rate with an extendable maturity set on 2029. The bond loan tranches of Class A1, Class A2, and Class A3 tranches are expected to be rated BBB- from DBF and BBB Low by DBRS.
The issuance of the settlement date for the New Bonds is expected to close on October 22, 2019. It is subjected to the signing of the related contractual documentation and the fulfillment of the conditions precedent to the issue. Euroclear and Clearstream will manage the New Bonds for the Class A2 tranches and by Monte Titoli for the Class A3 tranche and the subordinated tranche.
The road developers have also signed a loan agreement worth EUR307 million (US$338.77 million) with Banco BPM SpA, Monte dei Paschi di Siena SpA, Intesa Sanpaolo SpA, UniCredit SpA and Unione of Banche Italiane SpA. The fund allows the full refinancing of the debt contracted by the Company in 2013, during the construction phase of the A35-BreBeMi motorway. Banca IMI and JP Morgan acted as Joint Global Coordinators and Bookrunners, Banca Akros, MPS Capital Services, UBI Banca and UniCredit as Joint Bookrunners of the senior tranches, and Kommunalkredit Austria as Co-Lead Bookrunner in relation to the tranche Class A1.