South Australia has arranged bank finance from ANZ for its inaugural AUD 470m (USD 324m) PPP bundle of school projects, according to two sources familiar with the situation.
ANZ provided a five-year term loan and a swap for around AUD 210m, added the source, who would not disclose the pricing or other loan terms.
The state government reached financial close on the project in late December, but Treasurer Rob Lucas waited until last Friday (10 January) to announce the award of a PPP contract to TESA Education, a consortium of Tetris Capital, South Australia-based Sarah Constructions, ISS, DIF Capital Partners and ANZ.
Under the PPP, two schools will be built in Adelaide offering education from childcare through to Year 12. Each school will initially accommodate 1675 students, including 100 integrated special school students and will have the capacity to expand to 2000 students.
One school is in the northern suburbs and another at Alinga in the south of the city. The concession is 30 years in length, including a two-year construction period.