ACS Group, through Iridium, and Hermes Infrastructure (Hermes) have entered into an agreement for the sale of 74% of Iridium’s equity holdings in six shadow toll concessions in Spain, with a total Enterprise Value as of December 2019 of more than EUR 950 million (US$ 1.04 billion) on a 100% basis.
Iridium will keep playing an active role in the management and operations and maintenance of the assets through specific O&M and Management Contracts and by maintaining a 26% equity stake along with a significant presence in the governing bodies of the assets and day-to-day management.
The portfolio includes two concessions in Catalonia (Eix Diagonal and ReusAlcover), one in Castilla la Mancha (Autovía de la Mancha), one in Castilla y Leon (Autovía de los Pinares), one in Navarra (Autovía del Pirineo) and one in Galicia (Santiago-Brion). The six concessions, with a total investment of EUR 1.1 billion (US$ 1.21 billion), are in operations and have a remaining life of 19.4 years.
BBVA acted as a financial advisor of the operation and Ashurst law firm as a legal adviser.
The agreement is subject to the customary consents and the required approvals.