AllianzGI makes largest infrastructure debt investment to date in Uruguay

10/06/2022

Summary

AllianzGI has invested in a $250 million private placement to support the Ferrocarril Central rail project in Uruguay, the largest concession in the country’s history. Proceeds of the notes will be used to fund new senior debt and partially refinance existing indebtedness. This marks AllianzGI’s largest investment to date in Uruguay, and its second partnership with IDB Invest. Since 2015, AllianzGI has deployed over $7.3 billion in infrastructure debt investments across the Americas, including $2.6 billion in Latin America

Key takeaways

  • AllianzGI has invested in a $250 million private placement to support the Ferrocarril Central rail project in Uruguay, the largest concession in the country’s history
  • Proceeds of the notes will be used to fund new senior debt and partially refinance existing indebtedness
  • This marks AllianzGI’s largest investment to date in Uruguay, and its second partnership with IDB Invest
  • Since 2015, AllianzGI has deployed over $7.3 billion in infrastructure debt investments across the Americas, including $2.6 billion in Latin America

June 10, 2022 – NEW YORK – Allianz Global Investors (“AllianzGI”), one of the world’s leading active investment managers, announced today that has invested $250 million on behalf of its clients in a private placement to support the construction of the Ferrocarril Central railway project, the largest infrastructure concession in Uruguayan history. This marks AllianzGI’s largest infrastructure debt investment in Uruguay to date, and its fourth in the country.

The Ferrocarril Central project will upgrade 273km of railway connecting Paso de los Toros to Montevideo under a long-term concession granted by the Uruguayan government. Once complete in Q2 2023, the railway will convey up to 4.5 metric tonnes per annum of freight to the Port of Montevideo for export and should significantly contribute to GDP.

AllianzGI joins the Interamerican Development Bank (“IDB”), IDB Invest, the Corporación Andina de Fomento (“CAF”), CAF Asset Management Uruguay, Sumitomo Mitsubishi Banking Corporation, Intesa Sanpaolo S.p.A., New York Branch, and Global Infrastructure Partners in providing funding for the project. Proceeds of the $250 million notes will be used to fund new senior debt and partially refinance existing indebtedness. The investment will take the form of an IDB Invest B-bond, in the Infrastructure Debt team’s second partnership with IDB Invest.

Paul David, Head of Americas, Infrastructure Debt, at Allianz Global Investors, said: 
“Ferrocarril Central is our team’s 13th investment in Latin America, with AllianzGI having put $2.6 billion of investment to work across Chile, Colombia, Mexico, Peru, and Uruguay since 2018. This critical infrastructure project, the largest in the history of Uruguay, will help renew and expand this strategically important railway, supporting jobs and economic growth”.

The Ferrocarril Central announcement follows AllianzGI’s participation in the loan syndication of Everstream Fiber, a leading independent fiber telecom provider. Everstream Fiber marks the Infrastructure Debt Americas team’s first floating rate investment and its first investment in the telecommunications sector. With the successful execution of these two transactions, AllianzGI’s Infrastructure Debt platform has invested nearly $7.3 billion in infrastructure assets across the Americas over the past seven years, with more expected to follow.

 


For further information please contact

Robin Pertusi, Media       +1 212 739 3172      Robin.Pertusi@allianzgi.com


Notes to the Editors:

Overview of Borrowers

Borrower Grupo Via Central S.A. is a consortium comprised of Sacyr Concesiones SL (“Sacyr”), NGE Concessions SASU (“NGE”), Compañía Sudamericana de Empresas Eléctricas, Mecánicas, y de Obras Públicas S.A. (“SACEEM”), and Berkes Construcción y Montajes S.A. (“Berkes”).

Overview of Sponsors

Sacyr is a multinational concessions, infrastructure and services group committed to innovation and sustainability. Sacyr has worked on the development and maintenance of 20+ rail projects across Europe, Africa, and Latin America over the past two decades. NGE is France's fourth largest construction company by revenues, with 7 core business lines including railworks, where NGE has been active for nearly 100 years, and currently present in five Latin American countries. SACEEM is a leading engineering and construction company in Uruguay with over 1,600 successfully executed contracts since 1951. Berkes is a top Uruguayan engineering and construction company with over 80 years of history specializing in projects with structural engineering, electromechanical components and energy projects.

About Allianz Global Investors

Allianz Global Investors is a leading active asset manager with over 700 investment professionals in 24 offices worldwide and managing EUR 637 billion in assets. We invest for the long term and seek to generate value for clients every step of the way. We do this by being active – in how we partner with clients and anticipate their changing needs, and build solutions based on capabilities across public and private markets. Our focus on protecting and enhancing our clients’ assets leads naturally to a commitment to sustainability to drive positive change. Our goal is to elevate the investment experience for clients, whatever their location or objectives.

Active is: Allianz Global Investors
Data as of 31 March 2022

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AllianzGI seals strategic partnership agreement with Voya Financial

13/06/2022

Summary

Definitive agreement reaffirms core pillars of partnership announced in May. AllianzGI remains on track to transfer US investment teams to Voya Investment Management this summer. Comprehensive distribution agreement will see AllianzGI become distributor of Voya IM capabilities, including transferred investment teams, outside of the US and Canada. Allianz Group to take a 24% stake in enlarged Voya IM