Transurban refinances Lane Cove Tunnel PPP

21 October 2019 - 12:00 am UTC

Transurban has reached financial close on a AUD 346m (USD 237m) refinancing of project debt for the Lane Cove Tunnel, it said today. 

The ASX-listed motorway operator did not disclose which banks provided the five-year loan.

The funds will be used to refinance an existing facility due to mature in May 2021.

Transurban refinanced and “regeared” about AUD 460m of debt on the road in 2016, part of which was due in May 2021. The Canadian Imperial Bank of Commerce, MUFG Bank and Westpac were involved in that financing, according to Inframation Deals.

At the time, it also raised an AUD 60m term loan from ING Bank, maturing in May 2025.

The 3.6km Lane Cove Tunnel links the M2 motorway and the Gore Hill Freeway in Sydney’s northern suburbs.

The PPP, which has a 33-year concession to 2036, reached financial close in 2003 and was completed in March 2007. Transurban bought the road in 2010 after the consortium operating it, Connector Motorways, went into receivership.

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