OHL sets a market prospecting process in motion for assessing the possibility of including a minority partner in OHL Concesiones

The OHL Group has set a market prospecting process in motion for assessing the possibility of including a minority partner in its 100%-owned subsidiary, OHL Concesiones, S.A.U. This transaction is part of the company’s road map centered on embracing a sustainable and profitable business model.

The potential transaction would materialize through the inclusion of an institutional investor that would support growth and reinforce the business model that OHL Concesiones has been successfully implementing over time. OHL, in any case, would maintain its majority and the control of OHL Concesiones.

The resources obtained would be used by the OHL Group for speeding up its recourse debt reduction plan, making it possible at the same time to reduce the needs for the future input of capital by OHL into the new concession projects of OHL Concesiones.

In addition, this transaction would establish a reference of the market value of the OHL Group’s concession subsidiary.

This process has begun subsequent to the launch by OHL Concesiones and IFM Global Infrastructure Fund (IFM GIF) of a cash takeover bid on 100% of the free float of OHL México (41.99%) through Magenta Infraestructura. IFM GIF will contribute to Magenta -through a capital increase- the total amount of the funds necessary for the cash settlement of the takeover bid.

Reduction of recourse debt

The OHL Group has stated its commitment to reducing its recourse borrowings by the end of 2017 to a maximum of 1x, on the basis of its asset rotation policy, a development which should have a positive impact on the assessment by the rating agencies and could potentially lead to an improvement in its rating. This transaction serves to speed up the achievement of this objective.

Management of 20 concessions in Spain and Latin America

OHL Concesiones is s strategic player in public-private partnerships for transportation infrastructure projects. It has experience in the development, operation and financing of transportation infrastructures under concession. The company manages 20 concessions overall in Spain and Latin America.

• Highways: 1,088 km under concession in 15 toll roads (7 in Mexico, 3 in Chile, 2 in Spain, 2 in Peru and 1 in Colombia)
• Ports: 70.7 hectares in 2 commercial ports (Spain and Chile)
• Airports: integrated management of the Toluca International Airport (Mexico)
• Railways: 22 km in two light rail lines (Spain)

Information conference

OHL’s management team will hold an information conference for analysts and investors tomorrow the 23rd of June at 9:30 CET. The details for access to the conference will be available on www.ohl.es.