An information memorandum that will officially launch the sale of M6 Toll, the UK’s only toll road, will be sent out to interested buyers in September.
No date is set for sending out the IM, according to sources, but the 43km six-lane asset around the English city of Birmingham could be going for slightly less after the UK’s European Union referendum vote in June.
The result of the so-called Brexit – ‘British exit’ of the EU – referendum was won by the no-to-Europe side and the UK is now setting up t
An information memorandum that will officially launch the sale of M6 Toll, the UK’s only toll road, will be sent out to interested buyers in September.
No date is set for sending out the IM, according to sources, but the 43km six-lane asset around the English city of Birmingham could be going for slightly less after the UK’s European Union referendum vote in June.
The result of the so-called Brexit – ‘British exit’ of the EU – referendum was won by the no-to-Europe side and the UK is now setting up talks to leave the economic union. But when the UK will officially exit the EU – which it joined in 1973 - is dependent upon discussions with other member states of the 28-country organisation.
The morning after the vote was counted, the UK pound fell 10% in value to its lowest point since 1985.
“We held up the [sale] process until the referendum dust had settled,” Andy Pearson, chief executive of Midland Expressway Limited (MEL), part of Macquarie Atlas Roads, told World Highways. MEL operates the road on behalf of the owners, a consortium of banks that hope to recover some of the €2.45 billion of debt.
The information memorandum will detail financial aspects of the asset upon which prospective buyers can proceed with due diligence in order to make a bid.
The 27 owners of M6 Toll, including Crédit Agricole, Commerzbank and Banco Espirito Santo, took over the pay-as-you-go toll road from infrastructure group Macquarie in December 2013 after a debt restructuring.
MEL won a public-private partnership competition in 1991 to privately build the road and operate it under a 53-year concession, lasting to 2054. MEL was to finance construction and recoup its costs by setting and collecting tolls. At the end of the concession period the infrastructure will revert to the government. Toll rates are set at the discretion, with no cap on the rates charged.
No date is set for sending out the IM, according to sources, but the 43km six-lane asset around the English city of Birmingham could be going for slightly less after the UK’s European Union referendum vote in June.
The result of the so-called Brexit – ‘British exit’ of the EU – referendum was won by the no-to-Europe side and the UK is now setting up talks to leave the economic union. But when the UK will officially exit the EU – which it joined in 1973 - is dependent upon discussions with other member states of the 28-country organisation.
The morning after the vote was counted, the UK pound fell 10% in value to its lowest point since 1985.
“We held up the [sale] process until the referendum dust had settled,” Andy Pearson, chief executive of Midland Expressway Limited (MEL), part of Macquarie Atlas Roads, told World Highways. MEL operates the road on behalf of the owners, a consortium of banks that hope to recover some of the €2.45 billion of debt.
The information memorandum will detail financial aspects of the asset upon which prospective buyers can proceed with due diligence in order to make a bid.
The 27 owners of M6 Toll, including Crédit Agricole, Commerzbank and Banco Espirito Santo, took over the pay-as-you-go toll road from infrastructure group Macquarie in December 2013 after a debt restructuring.
MEL won a public-private partnership competition in 1991 to privately build the road and operate it under a 53-year concession, lasting to 2054. MEL was to finance construction and recoup its costs by setting and collecting tolls. At the end of the concession period the infrastructure will revert to the government. Toll rates are set at the discretion, with no cap on the rates charged.
