TPLEx consortium to borrow P9 billion from debt market

Private Infrastructure Development Corp. (PIDC), the consortium that will build the Tarlac-Pangasinan-La Union Toll Expressway (TPLEx), will borrow to finance half of the the P18-billion project cost, DMCI Holdings, Inc. president Isidro Consunji said. It has tapped BDO Capital and Investment Corp. as financial adviser to raise P9 billion. The 88-kilometer highway project that will link Metro Manila to northern parts of Luzon will receive P2.9 billion in subsidy and P6.5 billion in equity. “GMA (President Gloria Macapagal-Arroyo) wants to start after the rainy season," Consunji said. PIDC is composed of Lopez-led First Balfour, D.M. Consunji Inc. (DMCI), EEI Corp., C.M. Pancho Construction, R.D. Policarpio & Co. Inc., D.M. Wenceslao & Associates, J.V. Angeles Construction, J.E. Manalo & Co. Inc., New Kanlaon Construction Inc. and Rockford Development. San Miguel Corp., which has 35 percent interest in the project, is looking at increasing its stake to 51 percent. “I don't now if they will do that right away," Consunji said. Prior to San Miguel's entry, DMCI and First Balfour each held a 34-percent interest in the consortium while the rest holds two to six percent. -GMANews.TV