An Abertis presentation to investors says the estimated shareholder return (IRR, Internal Rate of Return) on the Pennsylvania Turnpike concession is in "the low double digits." 11 or 12 percent? They say the concession "meets the company's stringent investment criteria."
An official told us the company and its partners had gone "right to the edge" in their best and final offer. They were very keen to be selected.
With a bid of $12.8 billion an Abertis/Citi team has been selected as the concessionaire in a 75 year lease of the Pennsylvania Turnpike. The bids were received in a second round of best-&-final offer bids last Friday (May 16). #2 bidder was Transurban/Goldman Sachs at $12.1b.
Abertis and Goldman Sachs-Transurban the two final bidders for Penn Pike concession -Wall Street Journal "Marketwatch"By Peter Samuel on May 15, 2008
The Wall Street Journal's MarketWatch service is reporting that groups led by Abertis and Goldman Sachs are the only two remaining bidders for the 75 year lease concession on the Pennsylvania Turnpike. The third group comprising Cintra and Macquarie - two of the most aggressive bidders in past concession procurements - are out.
Cintra and Macquarie one of the three known teams bidding for the Pennsylvania Turnpike lease have dropped out of the bidding. They have told their bankers they are free to work with the remaining bidders on the best and final offers due this Friday.
Cintra and Macquarie said they weren't prepared to increase their bid, so they won't be making any Best And Final Offer.
"They told us the numbers didn't cut it," one of the bankers said.
There's talk that Macquarie is not in the bidding for the lease concession on the Pennsylvania Turnpike. Two sources have said TOLLROADSnews was wrong in including Macquarie among the active bidders.
So far as we can establish we are right. We're assured Macquarie is still in, though no one is talking for attribution.
Pennsylvania received bids for the 75 year Turnpike lease concession last Friday but there was a bid within 10% of the top bid triggering another week for best and final offers, Governor Ed Rendell said at a new conference this morning.
The Wall Street Journal reports that two bids have been submitted for the 75 year toll concession on the Pennsylvania Turnpike. It says the bids have been made by Abertis and a Cintra-Macquarie partnership.
We don't have any confirmation or refutation of this report.
Penn Turnpike Commission's implicit concession bid is $5.3b - below half expected top private sector bidBy Peter Samuel on May 9, 2008
The Pennsylvania Turnpike Commission's implicit bid in the state's lease concession procurement is $5.3b, versus a likely top bid by private sector bidders in the range $9b to $13b. The $5.3b implicit bid is cited by the Commonwealth Foundation thinktank in Harrisburg today.
Pennsylvania DOT has set a new deadline for bids on the Pennsylvania Turnpike concession at the end of this week. But while there is a real intention on the part of the state to make the new deadline stick it may slip again like last week's, according to people who can only be characterized as insiders.
Florida DOT have put the Jacksonville outer beltway concession procurement on hold, they've announced. FDOT District 2 secretary Charles Baldwin says state lawyers told him yesterday morning they were no longer sure that he could tell bidders on the First Coast Outer Beltway concession that they would be exempt from property tax.