The deal provides scale economies between the toll roads as well as management cost savings
It has acquired 100% of Autopista del Bosque (the Chillán Collipulli section of Ruta 5 Sur)
The acquisition will be paid for out of the Chilean subsidiary's equity, requiring no capital outlay by Cintra
The deal will enable Cintra to manage five contiguous toll road sections (890 kilometres in operation) on Ruta 5 Sur, the main road link to southern Chile
Cintra, the toll road and car park concession company, through subsidiary Cintra Chile, has acquired 100% of the Autopista del Bosque concession company from Vinci. The acquisition will be financed with the Chilean subsidiary's cash flow and requires no capital outlay by Cintra. The 160-kilometre toll road links Cintra's other four roads in the country.
The deal will enable Cintra to reap scale economies between the toll roads and reduce costs (administration, operation and maintenance). With Autopista del Bosque, Cintra will manage five contiguous toll road sections (all in operation) totalling 890 kilometres on Ruta 5 Sur, the main road link to southern Chile.
Like three of Cintra's four toll roads in Chile, Autopista del Bosque has arranged a revenue allocation mechanism (MDI), which reduces the concession company's traffic risk since a fixed revenue is guaranteed in exchange for improvement work.
Cintra, one of the world's largest private-sector transport infrastructure developers
Cintra, a subsidiary of Ferrovial, is one of the world's leading private-sector developers of transport infrastructure, with committed investment of over 2 billion euro in concession companies' equity. Cintra has interests in toll road operating companies in Europe, the United States, Canada and Chile, and it is Spain's leading car park company, with over 250,000 parking spaces under management.