03 December 2004
JOHN LAING PLC
3 December 2004
John Laing Plc takes 30% stake in Poland's A1 motorway project
John Laing Plc announces that it has agreed to purchase a 29.69% shareholding in
Gdansk Transport Company ("GTC"), the concession company which is preferred
bidder for the €700 m project to design, build, finance and operate the A1
Motorway in Poland. In August 2004, GTC signed a concession agreement with the
Polish Ministry of Infrastructure, and financial close is expected in the near
future. The stake is to be purchased by Laing Roads Limited (a 100% subsidiary
of John Laing plc) from Skanska BOT (the 100% subsidiary of the Swedish-based
Skanska group) the lead member of the consortium, and from international road
developer and operator Intertoll of South Africa.
The A1 project comprises two phases: a 90 km new road from Gdansk to Nowe Marzy
in Northern Poland, with a planned 60 km extension to the city of Torun at the
southern end of the motorway. Following financial close, construction of phase 1
is expected to begin in 2005, with completion of Phase 1 scheduled for 2008. The
concession period extends for 34 years to 2039. The payment mechanism for the
project is predominantly availability based, with a minority shadow toll
After the transfer of shares to Laing, Skanska BOT will retain a 30% stake in
the project, and Intertoll will retain 15%. Polish property developer NDI S.A.
will hold the balance. Laing will pay €250k as initial consideration for the 30%
stake upon satisfaction of conditions precedent, and Laing's equity commitment
at financial close of Phase 1 will be approximately €11.5m.
Andy Friend, Chief Executive of John Laing plc, said:
"This exciting project represents another significant step forward in the use of
PPP in EU Accession State countries. This is our first investment in Poland, an
attractive market with extensive long-term infrastructure requirements where
further projects are scheduled to be put out to tender in the near future. We
are delighted to be once again working with Skanska and Intertoll, with whom we
have good working relationships in other markets."
For further information please contact:
John Laing plc
Andy Friend, Chief Executive 020 7901 3200
Edward Orlebar / Robin Walker 020 7251 3801
Notes to Editors
Notes on John Laing & Laing Roads
• John Laing is the UK's listed market leader in PPP/ PFI infrastructure
projects. It currently invests in 41 PPP/ PFI projects in the rail, roads
and accommodation sectors, 24 of which are fully operational.
• Laing Roads is a major developer, investor and operational manager for a
wide range of PPP road, bridge and street lighting projects with a portfolio
of 11 projects including: the M40, M6, A130, A55, Sirhowy Enterprise Way and
the Severn River Crossing.
• Laing Roads' growing international portfolio includes Tieyhtio Nelostie
(Finland's first privately financed infrastructure project) and the E39 road
(Norway's first PPP project), both in partnership with Skanska.
Background to Polish PPP road projects
• The first PPP project in Poland was the A2 road, from Swiecko at the
German border to Konin, 180 km west of Warsaw. This is now operational as a
• Poland has not yet completed any other PPP road projects. The General
Directorate of Main Roads and Motorways (GDDKiA) has been established, to
facilitate the implementation of the government's road programme.
• A number of projects are at the pre-approval stage. In December 2003 the
Polish government announced its intention to launch for tender two new DBFO
highway projects, involving the upgrade and maintenance of Expressway S19
and National Road No. 62. The government is also planning to tender the
Strykow-Czestochowa section of the A1 and the Wroclaw-Katowice section of
the A4, although it remains unclear whether these two projects will end up
as PPP concessions.
This information is provided by RNS
The company news service from the London Stock Exchange