Spain’s Abertis buys two road assets from SBI-Macquarie infrastructure funds
Photo Credit: Shah Junaid/VCCircle

Spain’s toll roads operator Abertis entered into the Indian market with the acquisition of two road assets from two infrastructure funds jointly managed by India’s largest lender State Bank of India and Australia’s private equity firm Macquarie for a consideration of €128 million (about Rs 905 crore).

Abertis acquired 100% stake in Trichy Tollway Private Ltd (TTPL) and 74% share in Jadcherla Expressway Private Ltd (JEPL), the company said in a statement. The two road assets have a concession period till December 2026.

“This deal is an important step for Abertis in the geographic diversification of its business, moving into a growing market and one of the countries with the strongest growth potential in the world,” said Francisco Reynes, Vice-Chairman and CEO of Abertis.

In financial terms, the addition of these two toll roads will enable Abertis to consolidate around €30 million (Rs 212 crore) in annual revenue, €25 million (Rs 177 crore) in annual EBITDA and €85 million (Rs 601 crore) of net debt, the statement said.

Abertis currently has over 8,650 kilometres of toll roads under management in 14 countries in Europe, the Americas and now Asia. The group generates around two-thirds of the revenue from outside Spain.

In 2013, SBI Macquarie Infrastructure Trust (SMIF) and its co-investor Macquarie SBI Infrastructure Fund (MSIT) had acquired 74% stake in TTPL and JEPL.

TTPL is a 94 km roadway between Ulundurpet and Padalur on National Highway 45 in Tamil Nadu and JEPL is a 58 km road stretch from Farukhnagar to Jadcherla on National Highway 44 in Telangana.

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