It was a long time in the making but Sacyr and Fininc finally closed the Pedemontana-Veneta highway PPP in northern Italy in late November on EUR2.57 billion. The project, which was the subject of legal proceedings earlier in the year, was financed in part through a EUR1.57 billion bond issuance, one of the largest for a European greenfield project.

The bond came in two tranches: EUR1.22 billion in senior bonds due 2047 with a 5% coupon and EUR350 million in subordinated bonds, due in 2027 with a 8% coupon. The issuance drew wide-ranging institutional interest, including from Melbourne-based Westbourne Capital. The multi-state-backed Marguerite Fund was also one of the largest investors.

The 39-year concession will involve building 162km of roadway between the Vicenza and Treviso provinces, including two tunnels and 68km of secondary roadways. Following extensive negotiations, revenues will be generated by a combination of tolling and availability payments.

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