A11 Belgium motorway is first EIB Project Bond Initiative funded project

Belgium’s €577.9 million A11 motorway Public-Private Partnership (PPP) project has become the first greenfield infrastructure works to receive credit enhancement under the European Commission and EIB (European Investment Bank) Project Bond Initiative. The financing, secured by an EIB letter of credit, is part of the test phase for the 2012 Brussels-launched Project Bond Initiative aiming to invigorate capital market financing for infrastructure projects. The A11 motorway is due for completion in 2018. The
March 27, 2014 Read time: 2 mins
Belgium’s €577.9 million A11 motorway Public-Private Partnership (PPP) project has become the first greenfield infrastructure works to receive credit enhancement under the 2465 European Commission and EIB (1054 European Investment Bank) Project Bond Initiative.

The financing, secured by an EIB letter of credit, is part of the test phase for the 2012 Brussels-launched Project Bond Initiative aiming to invigorate capital market financing for infrastructure projects. The A11 motorway is due for completion in 2018. The project is one of the six major 'missing links' in the Flemish road network and the largest DBFM (Design-Build-Finance-Maintain) road project to date in Flanders.

Prior to the completion of the landmark credit enhancement Deal, the EIB was advised by global law firm White & Case.

“Advising the EIB on its innovative product enabled us to combine our experience of successfully delivering project bonds and strength in advising on landmark PPP projects,” said White & Case partner Caroline Miller Smith.

The White & Case team was led by London-based partners Caroline Miller Smith and Gavin McLean with support from associate Kamran Ahmad (London), counsel Ferdinand Brughmans and associate Serkan Alhan (both Brussels).
Road Structures

For more information on companies in this article

Related Content

  • Deutz secures new syndicated loan to bolster finances
    July 9, 2012
    German engine manufacturer Deutz has replaced its existing funding arrangements with a new syndicated loan. The working capital facility totalling €160million is being provided by a syndicate of German banks. The credit line is unsecured and runs until June 2017. In addition, Deutz has received a low-interest loan amounting to €90 million from the European Investment Bank. This loan, which is also unsecured, is repayable over a period of eight years with a grace period of two years. Deutz has hedged the in
    Read More
  • Mott MacDonald secure prized European Commission contract
    April 1, 2014
    Mott MacDonald has been awarded a €4 million, two-year contract to provide technical assistance to the European Commission's (EC) Directorate-General for Enlargement. The consultancy will support the coordination of socio-economic development interventions initiated and implemented by the EC, international financing institutions and bilateral donors in Western Balkans beneficiary countries as part of their Western Balkans Investment Framework (WBIF) initiative.
    Read More
  • Poland's highway plans to go ahead
    May 15, 2012
    In Poland, the European Investment Bank has committed itself to maintaining its loan agreement for the A1 highway, despite recent problems over the project. The e1.1 billion loan that the EIB had agreed with Autostrada Poludnie for construction of a 180km section of the A1 highway from Strykow to Pyrzowice, will now be placed at the disposal of the Polish highway authorities. To carry out the work, Poland has to raise a further e503 million, which could be obtained from an issue of road bonds. Autostrada Po
    Read More
  • Slovakia’s troubled D1 highway
    February 20, 2012
    Slovakia’s Ministry of Transport is to finance construction work on the 75km section of D1 highway between Martin and Presov from state funds, with work expected to start in the second quarter of 2011.
    Read More

Highlighted Content