Beitbridge Border Post

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The South African government awarded a 15-year toll concession for the construction, operation and eventual transfer of additional Border facilities at the Beitbridge Border Post between South Africa and Zimbabwe. The concession was awarded to the South African Infrastructure Investment Company, which will in return upgrade the Border facilities and especially widen the main access road from a single to a multi-lane highway. SAIIC is furthermore responsible for the maintenance of the assets over the contract period, while the South African and Zimbabwean border authorities will be responsible for collecting toll revenue. The Assets include the road to and from the Border Post, the Border facilities as well as the accomdations for the border personel. Beitbridge is among the busiest border posts in the SADC region, with volumes estimated at four million people, one million vehicles and several millions of tonnes of freight annually. It currently takes as long as four hours to transit the Beitbridge border post, and it is estimated that the new facility would reduce waiting time by 75 percent. SAIIC is a joint venture company formed by Old Mutual, Sanlam and Nedbank, representing the equity-tranche of $26m USD in this $97 m USD Investment. SAIIC awarded Standard Bank the sole mandate to arrange an 11-year $71 m USD debt package with the South Africa export credit agency ECIC providing 100% political risk Insurance and 85% commercial risk insurance The South African contractor WBHO won the contract to undertake the construction works in the upgrade of the Beitbridge Border Post.