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Sunday, April 21, 2024

Megawide welcome to more foreign and local partners in NAIA rehabilitation project

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Megawide Construction Corp. is open to getting more local and foreign partners for the planned rehabilitation of the Ninoy Aquino International Airport complex, a top executive said Friday.

Megawide chairman and chief executive Edgar Saavedra said in a press briefing following the company’s P4.36-billion preferred shares offering at the Philippine Stock Exchange several local and foreign companies expressed interest in teaming up with the company for the expansion of the country’s main gateway.

“We are open for partnership either as financial investors or strategic local and foreign investors,” Saavedra said.

Saavedra said talks with potential partners could be finalized once the NAIA redevelopment was officially awarded to the company.

Megawide already tapped GMR Infrastructure Limited of India as a partner in the project. Under the partnership, Megawide will hold a controlling 60-percent interest while GMR will retain 40 percent.

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Under the updated unsolicited proposal for the NAIA rehabilitation plan, the consortium will spend P109 billion under a 25-year concession period. The company will construct the project in three phases such as the improvement of airside and terminals and the connection via bus rapid transit.

They will also build a new terminal, additional taxi lanes and an elevated railway.

Megawide expects to secure the government’s approval for the project before the end of the year while the Swiss Challenge would likely be completed by the first quarter of 2021.

Megawide raised P4.36 billion from Series 2A and Series 2B preferred shares offering, which were almost 1.5-times oversubscribed from the base offer of P3 billion.

Proceeds from the preferred shares offering will be used to fund the company’s growing infrastructure project portfolio, NAIA redevelopment, expansion of the Paranaque Integrated Terminal Exchange and the expansion of its pre-cast facility.

“We are extremely heartened at the market’s vote of confidence in Megawide’s financial strength, our business prospects and future growth coming from our focus on delivering transformative infrastructure projects such as our proposal to rehabilitate and transform NAIA into a first world airport,” Saavedra said.

Share price of Megawide rose 2.3 percent Friday to P9.47.

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