Macquarie launches Canadian highway sale

06 November 2017 - 12:00 am UTC

Macquarie Infrastructure Partners (MIP) has launched the sale process for its 100% stake in Canadian toll road Autoroute 25 (A25), Inframation has learned.

Teasers were sent last week to potential bidders, it is understood. Macquarie Capital has been retained as the advisor on the sale.

Macquarie declined to comment. 

The A25 is a 7.2 km toll road between Henri-Bourassa Boulevard in Montréal and autoroute 440 in Laval. It also includes a 1.2km six-lane bridge across Rivière des Prairies. Inframation reported in April 2017 that MIP was exploring the sale of the toll road. The fund is in the process of divesting its assets, as reported.

MIP won the A25 highway extension P3 concession in June 2007 alongside Kiewit and Parsons. 

The P3 expansion contract has a 35-year term, which runs until 2042. Real toll step-ups are based on traffic hurdles. 

The road has been open to traffic since May 2011 and has experienced strong traffic growth, a source familiar said. 

MIP valued its USD 250.3m equity investment in A25 at USD 260m as of 30 June 2012, according to Inframation Deals. The fund in February 2015 closed a USD 316.2m refinancing package for the highway.

French company Emovis, the service delivery and technology arm of Abertis, announced on 23 October 2017 that it has installed an all-electronic tolling system on the highway.