Brazil's Pátria Investimentos buys 48% stake in Colombian highway concession

Colombia’s Construcciones El Cóndor sold its 48% stake in the Pacífico 3 highway concession to Brazilian group Pátria Investimentos.

"The purchase agreement is subject to compliance with the conditions precedent to its completion, and closing is expected to occur within the next four months from the date of signature," Construcciones El Cóndor told the financial regulator.

The contract was signed on September 24 by subsidiaries Alphevon and Talersia.

With the proceeds from the transaction, Construcciones El Cóndor plans to pay off its outstanding obligations as part of its divestment plan to reduce debt. The amounts involved were not disclosed.

Bancolombia, which advised on the transaction, said the deal is in line with Construcciones El Cóndor's strategic plan and reaffirms investor confidence in infrastructure development in Colombia.

The other shareholders in the project are MHC Ingeniería and Construcción de Obras Civiles with 26% and Constructora MECO, also with 26%.

Pacífico 3 is part of Colombia’s fourth generation (4G) infrastructure projects.

It runs through the departments of Antioquia, Caldas and Risaralda. Together with the concessions for highway connections 1 and 2, its purpose is to connect the Pacific port of Buenaventura with the production centers of three important regions: Valle del Cauca, the “coffee belt” and Antioquia, making it one of the most important corridors in the country.