PGGM to take 50% Bam PPP stake

Contractor Bam and pension fund PGGM have agreed a deal to continue their partnership in the delivery of PPP schemes.

The two partners have reached conditional agreement on the key terms for the extension of the current partnership, with PGGM Infrastructure Fund planning to acquire a 50% interest in Bam PPP.

PGGM will pay around €130m to acquire the shares, consisting of an initial consideration of circa €100m payable at completion of the agreed transaction and a contingent consideration upon Bam PPP achieving specific financial targets in the future. The deal is expected to close next month.

“The extended partnership is expected to generate significant potential to accelerate growth in existing European and new global markets by providing Bam PPP with a broader remit and greater flexibility to expand its portfolio,” Bam said.

“For PGGM this transaction is a natural next step in a long-term successful partnership, aligning PGGM’s ambitions to invest and to build capacity within the PPP sector more globally and Bam’s interest in utilising its team’s market leading capability to its full potential,” added PGGM’s head of infrastructure, Erik van de Brake.

Last week, David Swarbrick was appointed managing director of Bam PPP UK & Ireland.