Spanish construction group FCC and Spanish banking conglomerate Bankia have agreed to sell the Globalvia PPP concession management company, in which they each hold a 50% stake.
Globalvia will be bought by Khazanah Nasional Berhad, the strategic investment fund of the Malaysian government, for an estimated $470m. The agreement consists of an initial payment of $190m and another deferred payment that could reach $280m.
The transaction is subject to a series of conditions that could result in the suspension of the agreement. These include the attainment of third-party approvals, as well as the agreement of holders of $830m in bonds to convert them into Globalvia shares.
Globalvia was established in 2007, and manages 31 projects in seven countries, including highways, railways, hospitals and ports. Its target markets are the EU and North America.
FCC recently sold 25% of its shares to Mexican billionaire Carlos Slim in an effort to reduce its debt burden.
Image: Esther Alcocer Koplowitz, Vice-President of the FCC Board