Saltillo-Monterrey Highway

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In November 2006, the federal secretary of communications and transportation (SCT) awarded Autopista Saltillo-Monterrey SA de CV a 30 year greenfield contract to build, operate, exploit, conserve and maintain a new 95km toll road in the states of Nuevo Leon and Coahuila. In addition to the 95km section to be constructed by the concessionaire, a 14km bypass in Zacatecas was to be constructed by SCT and operated and maintained by Autopista Saltillo-Monterrey SA de CV. The Saltillo-Monterrey Highway was to be the first Mexican project to use electronic tolling technology. The Saltillo-Monterrey Highway was part of the Programa Sectorial de Comunicaciones y Transportes which sought to construct or modernize over 17,000km of roads between 2007 and 20012. The contract was granted under the new highway concession model which transferred all of the traffic risk to the private operator and required a minimum equity contribution for each project. US $23million (Ps 250 million) was the minimum for the Saltillo-Monterrey Highway. The Saltillo-Monterrey Highway was conducted through an international tender launched on October 18, 2005. The criterion used to select the winning bid was the lowest sum of the net present value of the minimum revenue guarantee plus the initial public contribution. There were six bidders for the contract: • Coconal SA de CV, Isolux Corsan Concesiones SA, and Elsamex, SA • La Peninsular Comania Constructora SA de DV, Constructora Andrade Gutierrez SA de CV, Operadora y Administracion Tecnica SA de DV and Companhia de Concessoes Rodoviarias • Empresa Omega Corp SA de CV • Pavimentos de la Laguna SA de CV, Grupo Profezac SA de CV, and Operadora de Autopistas del Altiplano SA de CV • FCC Construccion SA, Desarrollo y Construcciones Urbanas SA de CV, and Impulsa Infraestructura, SA de CV • Ingenieros Civiles Asociados SA de CV, and Controladora de Operaciones de Infraestructura SA de CV On November 1, 2006, the consortium of Coconal SA de CV, Isolux Corsan Concesiones SA, and Elsamex, SA was awarded the contract. Autopista Saltillo Monterrey SA de CV was formed as the project company and held by Isolux (Spain 80%) and Elsamex (Spain 20%). The Mexican partner Coconal SA de CV was to construct the highway but did not hold equity in Autopista Saltillo Monterrey SA. Total project cost was estimated at US $277 million, not including the 14km bypass. The private operator was allowed to recoup their investment through toll revenue until an amount specified in the contract. From that point onward, toll revenue was to be split between the government and the private operator. The project reached financial closure in May 2007 through a US $245 million (Ps 2.62 billion) syndication. Banco Santander was the lead syndicator (Ps 503 million) and included six other banks in the deal: Imbursa (Ps503 million), ING (Ps360 million), Dexia (Ps360 million), Banobras (Ps360 million), NordLB (Ps330 million), and Caixa Galicia (Ps200 million). The project was to be financed 35% through equity, and 65% through debt. After project delays and protests, the highway was inaugurated by President Calderon on November 9, 2009.