Ferrovial seeks to refinance two managed lanes concessions

21 November 2019 - 12:00 am UTC

Ferrovial will refinance the debt of two Texas managed lanes projects that it controls in DBFOM contracts, according to a 20 November release.

Ferrovial has begun refinancing USD 2.5bn in debt for the North Tarrant Expressway and the LBJ Expressway, which were first announced in October 2018 but had not moved forward since. 

Banks have already expressed interest in the deals, said a source close to the transactions.

Ferrovial wants to take advantage of the low-interest rate environment to lower its cost of debt.

The refinancing for NTE is anticipated to close by year-end. Its bonds carry a 10-year non-call provision after which they are callable after 31 December 2019, according to the bond prospectus.

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