“We have financing from local and foreign financial institutions led by BDO [Unibank, Inc.],” said Manuel Louie B. Ferrer, Megawide chief marketing officer.

The project was awarded to the consortium last Friday. Megawide and GMR offered a P14.4-billion premium, the highest among the seven bidders during the auction last November.

Mr. Ferrer said debt financing represented 70% of the premium. The balance will come from equity, of which 60% will come from Megawide and 40% from GMR.

“Payment will be within 20 days from notice of award so until April 25,” he added.

The MCIA project — the first public-private partnership (PPP) deal to be awarded this year — involves the modernization of the country’s second-busiest airport under a 25-year concession agreement.

The consortium of Filinvest Development Corp. and Changi Airports Mena Pte. Ltd. — the second highest bidder with an offer of P13.99 billion — has questioned Megawide and GMR’s capability to complete the project.

Cebuano Senator Sergio R. Osmeña III, who has also questioned the conduct of the auction, asked the Supreme last Thursday for an injunction.

 

09 April 2014

By Claire-Ann Marie C. Feliciano