(Alliance News) - BBGI Global Infrastructure SA on Monday said it purchased a 49% equity interest in project company Via Solutions Nord GmbH & Co KG for the A7 motorway in northern Germany.
The Luxembourg-based investment firm did not disclose the purchase price of the stake but noted that the investment is expected to rank in its top 6 to 10 investments. The payment is being funded through its GBP230 million corporate revolving credit facility and existing cash resources.
The interest in Via Solutions is being acquired from entities owned by construction company Hochtief Solutions AG.
Via Solutions is a project company for the A7 motorway public-private partnership between Hamburg and the city of Bordesholm, which is near the border with Denmark. The project is meant to help improve cross-border connections. It is part of the Trans-European Transport Networks, a policy of the European Commission that supports the development of a Europe-wide road network.
The completion of the acquisition is subject to conditions including consent from the public sector client.
"Our 56th availability-based infrastructure investment is our first road project in Germany and a great addition to our existing six projects in the country, further strengthening our continental Europe exposure," BBGI Co-Chief Executive Frank Schramm said.
Shares were up 0.6% at 164.99 pence each on Monday morning in London.
By Abby Amoakuh; abbyamoakuh@alliancenews.com
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