Metro Rio - Line 4

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In November 1998, Consorcio Rio Barra, a partnership of the Brazilian companies Queiroz Galvao, Constran Construcoes e Comercio and Trans Sistemas de Transporte, won in a competitive bidding process the right to build and operate the 16-km metro line connecting Ipanema and Barra da Tijuca located at the municipality of Rio de Janeiro (state of Rio de Janeiro). The 25-year PPP contract was signed in November 1998, but the project suffered several delays. The last edition to the contract changed the termination date to June 2036. The bidding criteria was the lowest fare. No additional information was available on the winning bid or on other bidders. The sponsors created the company Concessionaria Rio Barra S.A. to lead the project. In 2010, the shareholding structure of the company changed to Queiroz Galvao, Odebrecht, Carioca, Cowan and Servix. In 2013, the Brazilian company Invepar, a partnership of Construtora OAS and pension funds Previ, Petrus and Funcef, acquired the totality of Concessionaria Rio Barra's shares. The investment was estimated at US$ 3.611 billion (BRL 8.5 billion) over the life of the project. In March 2013, the state-owned bank BNDES approved a US$ 1.8 billion (BRL 4.3 billion) loan to finance the project. Previously, BNDES had approved a US$ 53.7 million (BRL 126.3 million) in January 2012. The state government agreed to fund US$ 3.229 billion (BRL 7.6 million), while the private sponsors were supposed to finance the rest of the investment (acquisition of rolling stock). Construction works of Metro Line 4 started in March 2010, and were underway as of December 2013. Operations were expected to commence by June 2016.