Posts Tagged ‘NLEX-SLEX Connector Road Project’

Connector road project up for approval

Business World, 29 January 2014

By Lorenz Christoffer S. Marasigan

 

THE GOVERNMENT plans to approve the contract to build a tollway connector road this quarter, an official said.

Of the P18-billion Connector Road Project of Manila North Tollways Corp., the government has already approved the project alignment and design components, Toll Regulatory Board (TRB) Executive Director Edmundo O. Reyes said.

The financial component remains to be cleared. Mr. Reyes explained: “We have to study first the financial submission, then, after that, approve it (the project).”

Last December, MNTC, the concessionaire of the North Luzon Expressway (NLEx), submitted its investment proposal to the toll body, asking for an amendment of the existing Supplemental Toll Operations Agreement (STOA).

“We’re targeting a first quarter approval for the STOA itself,” Mr. Reyes noted.

MNTC President and Chief Executive Officer Rodrigo E. Franco said via text message that the firm plans to start constructing the road linkage project by July, if the contract should be approved by the first quarter of the year.

The amended agreement will allow the concessionaire to link its three road projects without the need to form a new contract.

The connector road, or Segment 10.2, is an eight-kilometer mainline road that will run from C-3 Road in Caloocan City to Polytechnic University of the Philippines in Sta. Mesa, Manila. It will also have 2.6-km port area spur road from C-2 Road to R10 in Tondo, Manila.

Under the amended agreement, Segment 10.2 will be linked to the P11.9-billion two-segment Harbor Link Project.

That project consists of a P1.9-billion, 2.4-km road linking NLEx to MacArthur Highway and a P10-billion, 5.65-km road from Mindanao Avenue, Quezon City, to Manila North Harbor.

The three projects, now collectively called the NLEx Metro Expressway Link, have an aggregate cost of P30 billion.

The project will be funded through 70% debt and 30% equity, Metro Pacific Tollways Corp. (MPTC) Chief Financial Officer Christopher Daniel C. Lizo said.

MPTC is a subsidiary of Metro Pacific Investments Corp., the local unit of Hong-Kong-based First Pacific Co. Ltd., which, in turn, is part-owner of Philippine Long Distance Telephone Company.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld.

 

GOV’T SETS OKAY OF TOLL AGREEMENT BY THIS QUARTER

Malaya, 29 January 2014

 

The Toll Regulatory Board (TRB) targets to approve this quarter the revised Supplemental Toll Operation Agreement (STOA) to meet the scheduled start in construction of the P18-billion North and South connector road of the  Manila North Tollway Corp. (MNTC)

NTC major shareholders Metro Pacific Tollways Development Corp., (MPTDC) and the Philippine National Construction Corp (PNCC) recently signed a joint venture agreement to revised the STOA  subject to TRB approval. The proponents want to start  construction in July this year.
“We’re targeting first quarter approval for the STOA,” said Edmundo Reyes Jr., executive director of the  TRB.
Reyes said the agency has approved the NLEX-SLEX connector road alignment and basic design
He said the TRB is now in the process of the third approval phase which is the financial.
He said the TRB is  studying the details of the financial submitted by the consortium which is expected to be completed in the first quarter .

TRB eyes 1Q approval of NLEX-SLEX Connector Road Project

InterAksyon, 29 January 2014

By Darwin G. Amojelar

 

MANILA – The Toll Regulatory Board (TRB) expects to approve the amended toll agreement of Manila North Tollways Corp (MNTC) for the expressway linking north and south of Metro Manila within the first quarter of the year.

TRB executive director Edmund Reyes told reporters that the agency’s board already approved the ”important items” of the project, such as the alignment and the design of the road in meeting last month.

“So, the next item is the financial. We are now studying the financial submissions. We are targeting a first quarter approval for the STOA,” Reyes said, referring to the Supplemental Toll Operations Agreement.

Metro Pacific Tollways Development Corp (MPTDC), the key shareholder of MNTC, had submitted an investment proposal for the P18 billion NLEX-SLEX Connector Road Project.

Under the amended STOA, the NLEX-SLEX Connector Road, which will be called Segment 10.2, would be integrated to Segment 10.1, a 5.65-kilometer road that starts where Segment 9 ends on MacArthur Highway and stretches all the way to C3 Road.

Segment 9 is a 2.4-kilometer portion linking the NLEX to MacArthur Highway. The three projects would now be called NLEX Metro Expressway Link Project.

The P1.59-billion Segment 9 is expected to be completed in June, while the

Segment 10.1 in March.

Segment 10.2 is an eight-kilometer long road from C3 in Caloocan City to Polytechnic University of the Philippines (PUP) campus in Sta. Mesa, Manila. Some portions of this segment will be elevated above the railroad tracks of the Philippine National Road (PNR).

The five-kilomenter common alignment from PUP to Buendia in Makati City would be financed by Citra Metro Manila Tollways Corp.

After the construction, MPTDC  would be reimbursed part of the cost of the common alignment and the revenue sharing would  be 62.5 percent for Citra and 37.5 percent for MPTDC.

MNTC, which operates NLEX, has sealed a joint venture with state-owned Philippine National Construction Corp (PNCC) – a move meant to facilitate construction of the NLEX-SLEX Connector Road Project.

PNCC is the holder of the NLEX franchise, which MNTC manages on behalf of the government.

Rodrigo Franco, president of MNTC said the company expects to start the construction of the connector road by July this year and complete it in 2016.

The P26.7 billion Skyway Stage 3 project, which involves the construction of a 14.8-kilometer, six-lane elevated expressway that will connect the end of the Skyway in Buendia to Balintawak, is expected to start in April for completion in 36 months or by the first quarter of 2017.

But San Miguel Corp (SMC) president Ramon S. Ang had said the company will try its best to complete the project by June 2016. SMC is part owner of Citra Metro Manila.

InterAksyon.com is the online news portal of TV5, which like MNTC and MPTDC is a member of the MVP group of companies.

 

MVP group jacks up stake in NLEx operator

Philippine Daily Inquirer, 14 January 2014

By Miguel R. Camus

 

The group of businessman Manuel V. Pangilinan has increased its stake in the company operating North Luzon Expressway after buying portion of France-based Egis Projects SA’s holdings, a filing to the stock exchange showed on Monday.

Metro Pacific Investments Corp. said its indirect stake in NLEx operator Manila North Tollways Corp. would increase to 71 percent following the acquisition of Egis’ 3.9 percent stake for P1.42 billion.

Egis, which reportedly wanted to reduce its holdings in the company, will continue to own about 9 percent of Manila North Tollways. Other major shareholders of the tollway operator are Henry Sy’s BDO Unibank Inc. and Philippine National Construction Corp.

The transaction, which was done through Metro Pacific’s tollroad arm Metro Pacific Tollways Corp., was completed after Pangilinan’s group exercised its right of first refusal to the shares of Egis.

This is the latest toll road deal for Metro Pacific, which has been eyeing acquisitions in the Philippines and overseas.

Last year, it participated in the acquisition of a minority stake in Thailand’s Don Muang Tollway Public Company Ltd., which has a 27-year concession ending in 2034 to operate a 21.9-kilometer elevated toll road that runs from central Bangkok to the northern part of the city.

Metro Pacific and parent First Pacific Co. Ltd. formed joint venture firm FPM Infrastructure Holdings Ltd., split 75-25 between them, respectively, to acquire 29.45 percent of Don Muang Tollway for P5.8 billion.

It was also open to further increasing its investment in the Thai tollroad company, Metro Pacific chief financial officer David Nicol said earlier.

The acquisition comes as Metro Pacific Tollways pursues the organic expansion of its existing tollroad amid a difficult regulatory environment.

The unit, for example, remains in long-running discussions with the government for the turnover of the 93.7-km Subic Clark Tarlac Expressway. It is also in negotiations with the government to start an elevated connector road linking NLEx to the South Luzon Expressway, operated by rival San Miguel Corp. and Indonesia’s Citra Group.

 

Metro Pacific Tollways increases stake in NLEx operator

Business World, 13 January 2014

By Lorenz Cristoffer S. Marasigan

 

PANGILINAN-LED Metro Pacific Tollways Development Corp. (MPTDC) has bought most of the shares of a French partner in Manila North Tollways Corp. (MNTC), increasing its stake in the North Luzon Expressway (NLEx) operator, parent Metro Pacific Investments Corp. (MPIC) said in a disclosure yesterday.

  MPIC said that, on Jan. 10, French firm EGIS Projects SA sold 692,640 shares to MPTDC, equivalent to 3.9% of total outstanding shares in MNTC, for P1.42 billion.

“MPTDC exercised its right of first refusal on the sale of MNTC shares by EGIS Projects SA,” the disclosure read.

“MPTDC, a subsidiary of MPIC, now owns 71% of MNTC’s outstanding shares.”

MNTC President and Chief Executive Officer Rodrigo E. Franco said EGIS Projects still retained a 10% stake, while the rest is held by SM Group led by BDO Unibank, Inc. with 16.5%, and Philippine National Construction Corp. (PNCC) with 2.5%.

“They (EGIS Projects) just reduced their stake, but will continue to have a Board seat,” Mr. Franco said in a text message.

Ramoncito S. Fernandez, chief executive officer and president of MPTDC, said via separate text that the French firm will continue to be the operation and maintenance (O&M) provider of the NLEx operator.

“They want to cash in now, but they retain O&M,” he said.

The NLEx operator plans to issue corporate bonds of up to P7 billion by the end of the first quarter this year to finance the expansion of its toll road project, Mr. Franco earlier said.

The amount will be used to help finance the firm’s P11.9-billion, two-segment Harbor Link project, consisting of a P1.9-billion, 2.4-kilometer road linking North Luzon Expressway to MacArthur Highway and a P10-billion, 5.65-kilometer road from Mindanao Avenue in Quezon City to Manila North Harbor.

MNTC is also venturing on building a road that will link the north and south of the metropolis.

Last Dec. 17, MNTC submitted its investment proposal to the Toll Regulatory Board (TRB) for the planned P22.95-billion Connector Road.

Mr. Fernandez said that his firm is pushing for an amendment in the existing Supplemental Toll Operations Agreement (STOA) of MNTC, noting that he “is still hopeful” of having the contract approved by the first quarter of the year “which is the original target.”

Transportation Secretary Joseph Emilio A. Abaya, who heads TRB, declined to give a comment.

MPIC reported a total comprehensive income of P8.101 billion as of September last year, 7.8% more than the P7.515 billion recorded in the same nine months in 2012, as revenues rose 11.40% to P22.879 billion from P20.537 billion on increases in the conglomerate’s water supply and sewerage, tollway, hospital and school revenues. Shares of MPIC shed one centavo or 0.24% to close at P4.23 apiece yesterday from P4.24 each on Friday last week.

MPIC is a Philippine unit of Hong Kong-based First Pacific Company Ltd., which also partly owns Philippine Long Distance Telephone Co. (PLDT).

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld.

Pangilinan group increases stake as NLEX operator

Rappler, 13 January 2014

By Cherrie Regalado

 

MANILA, Philippines – The Manuel Pangilinan-led Metro Pacific Tollways Development Corporation (MPTDC) acquired additional shares in the Manila North Tollways Corporation (MNTC), increasing the firm’s stake to 71%.

In a disclosure to the Philippine Stock Exchange on Monday, January 13, the MPTDC said it has acquired the 3.9 % stake of France-based tollway operator Egis Project SA in the MNTC for P1.42 billion.

The deal was concluded on Friday, January 10, MPTDC said.

“On 10 January 2014, Metro Pacific Tollways Development Corporation (MPTDC) entered into an agreement with Egis Projects SA to acquire additional 3.9% outstanding shares of Manila North Tollways Corporation,” the disclosure read.

MNTC is the concessionaire of the North Luzon Expressway (NLEx) which was previously owned by the Lopez group through its infrastructure arm, First Philippine Infrastructure Development Corporation (FPIDC).

MPTDC, the infrastructure arm of Metro Pacific Investments Corporation (MPIC), later purchased FPIDC, making MPIC the majority share-holder of the tollway concessionaire.

Other owners of the MTDC are Leighton Asia Ltd. of Australia, and the state-owned Philippine National Construction Corporation (PNCC), which holds the franchise for the operation of the expressway.

MTPDC president Rodrigo Franco earlier said that the firm would shell out as much as P4 billion for the expansion of the 90-kilometer NLEx in a span of 2 to 3 years.

The funds, Franco said said, will be used to expand some sections of the expressway in Pampanga to decongest traffic.

The firm is also finalizing a joint venture with PNCC for the P23 billion toll road linking NLEx to South Luzon Expressway.  Rappler.com

 

MNTC expects gov’t approval for NLEX-SLEX Connector Road in 1Q

InterAksyon, 13 January 2014

By Darwin G. Amojelar

 

MANILA – The operator of the North Luzon Expressway (NLEX) expects the government to approve within the first quarter a project connecting the NLEX to the South Luzon Expressway (SLEX).

Manila North Tollways Corp (MNTC) has sealed a joint venture with state-owned Philippine National Construction Corp (PNCC) – a move meant to facilitate construction of the NLEX-SLEX Connector Road Project.

“But we know the proposal will go through the process of review and deliberation,” MNTC president Rodrigo Franco said in a text message.

He said the Toll Regulatory Board last December 17 tackled the design and alignment of the NLEX-SLEX project.

“The other aspects are still to be discussed by the Board. The staff will need to evaluate the projects,” he added.

Under their joint venture, PNCC will get a six percent share in gross revenues and will maintain its 2.5 percent equity in the project.

Metro Pacific Tollways Development Corp (MPTDC), the key shareholder of MNTC, had submitted an investment proposal for the P22.95 billion NLEX-SLEX Connector Road Project.

Since the proposal is unsolicited, government rules require that the offer be subject to a Swiss challenge. To go around this requirement, MPTDC and PNCC amended the scope of an existing Supplemental Toll Operations Agreement (STOA) to include the NLEX-SLEX Connector Road.

The STOA covers the construction of Segment 10, a 5.65-kilometer road that starts where Segment 9 ends on MacArthur Highway and stretches all the way to C3 Road. Segment 9 is a 2.4-kilometer portion linking the NLEX to MacArthur Highway.

PNCC is the holder of the NLEX franchise, which MNTC manages on behalf of the government.

The project is expected to be completed on June 2016, or before the end of the term of President Benigno S. Aquino III.

 

InterAksyon.com is the online news portal of TV5, which like MPTDC is chaired by Manuel V. Pangilinan.