Financial close for Denver airport P3

Financial close has been agreed on the Great Hall Project at Denver International Airport.

The Great Hall Partners consortium, led by Ferrovial Airports, has achieved financial closure of the contract for remodeling and commercial operation of the Jeppesen terminal.

Financial closure comes after the signature of the contract between Denver City and County and Great Hall Partners on 24 August 2017.

Ferrovial Airports, with an 80% stake, is the majority partner of the consortium, alongside Saunders Construction and JLC (an investment fund created by Loop Capital and Magic Johnson Enterprises). The construction and refurbishment work, worth a total of $650m, will be carried out by Ferrovial Agroman and Saunders Construction.

The total investment will be financed by a combination of governmental payments, equity committed by the consortium partners, and the bond issue completed yesterday.

The equity provided by the consortium amounts to $73m dollars, while the bond principal amounts to $189m dollars. The bond was rated BBB by Fitch and BBB- by S&P. The bond has an average yield to maturity of 4.083% and is callable before maturity. The average yield to call is 3.34%.