Odinsa, the Grupo Argos Concessions Company, and Macquarie Asset Management establish road platform in Colombia and the region

  • Macquarie Asset Management is a leading global asset manager with more than US 450,000 million of assets under management, which includes USD 107,000 million of equity invested in infrastructure assets around the world
  • This platform has the potential of developing over COP 4.5 trillion in new investments in the region.
  • By creating this platform through its concessions company, Grupo Argos continues to consolidate its position as a major player in the infrastructure sector in Colombia and the region.
  • This strategic partnership is a clear demonstration of confidence in the country by Odinsa and the world’s largest infrastructure investment fund.

Odinsa, the Grupo Argos concessions company, and Macquarie Infrastructure Partners V (MIP V), an Americas-focused, unlisted infrastructure fund managed by Macquarie Asset Management (MAM), one of the world’s largest infrastructure managers[1], have signed a strategic alliance for the creation of an investment platform that will manage Odinsa’s current road assets in Colombia: Pacífico 2, Túnel Aburrá Oriente, Autopistas del Café and Malla Vial del Meta, with a consolidated valuation that amounts to COP

COP 4.3 trillion.

This new roads platform will become one of the largest in the region and will continue to explore additional opportunities to create value through the development of new projects that could require funding of close to COP 4.5 trillion, a highly relevant investment for road infrastructure in Colombia and the region.

The platform will also manage the initiatives that Odinsa is currently leading in the Colombian roads sector, including: Perimetral de la Sabana and Conexión Centro, as well as the possible expansion of the Concesión Túnel Aburrá Oriente, which if developed, will receive substantial financial backing and technical support for their development.

The platform will be created through the establishment of a private capital fund, whose investors will be Odinsa S.A. and MIP V (each with a 50 % share). In addition to capital, MAM will contribute its broad global expertise in the road industry to continue strengthening the results of current and future assets. MAM, jointly with Odinsa, will promote the platform’s growth which focuses on the development of transformational initiatives that foster the competitiveness of Colombia and the region.

“With this strategic alliance with Macquarie Asset Management, we ratify our commitment to the country and we strengthen ourselves to continue consolidating and expanding our presence in Colombia and the region, with sustainable infrastructure projects that boost competitiveness and development.”   Mauricio Ossa CEO of Odinsa

Within the framework of the alliance, which was approved by the Board of Directors of Odinsa, an agreement was reached regarding the sale and contribution of the equity interests held by Odinsa in the Pacífico 2, Túnel Aburrá Oriente, Autopistas del Café and Malla Vial del Meta road concessions, as well as its private initiatives. These participations will be consolidated in the Fondo de Capital Privado, subject to the fulfillment of a series of precedent conditions for the closing and completion of this important transaction.

About Macquarie Asset Management

Macquarie Asset Management (MAM) provides specialist investment solutions to clients across a range of capabilities including infrastructure & renewables, real estate, agriculture, transportation finance, private credit, equities, fixed income, and multi-asset solutions.

As of March 31, 2021, the MAM business had more than $US450 billion of assets under management. MAM has over 1,900 staff operating across 20 markets in Australia, the Americas, Europe, and Asia.

MAM, through its affiliates, has been managing assets for institutional and retail investors since 1980 in Australia and in the United States, retail investors recognize the Delaware Funds® by Macquarie family of funds as one of the longest-standing mutual fund families, with more than 80 years in existence.

Press room: https://www.grupoargos.com/es-co/media/noticias:

Iván Trujillo Institutional Relations and Communications Manager at Grupo Argos E-mail: itrujillo@grupoargos.com
Cell phone: +57 (313) 829-1863
Viviana Arroyave Communications Director at Odinsa
E-mail: varroyave@odinsa.com.co Cell phone: +57 (311) 384-5611  
Lee Lubarsky Macquarie Group Media Relations E-mail: Lee.Lubarsky@macquarie.com  +1 (347) 302-3000 

This press release does not constitute an advertisement or an offer to sell any security or the solicitation of any offer to buy an interest in MIP V or any existing or future fund or investment vehicle managed or advised by MAM and/or its affiliates or any other security. None of the entities referred to in this press release is an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these entities do not represent deposits or other liabilities of Macquarie Bank Limited ABN 46 008 583 542 (MBL). MBL does not guarantee or otherwise provide assurance in respect of the obligations of that entity

Odinsa achieves successful refinancing of the Pacífico 2 project with international entities, this ratify their confidence in Colombia

  • Concesión La Pintada, which is in charge of the 4G Pacífico 2 project, signed a credit agreement with four major international financial institutions: Itaú, SMBC (Sumitomo Mitsui Banking Corporation), BNP Paribas and CDPQ to refinance its current debt.  
  • The refinancing, which amounts to US$260 million, will improve the project’s financing conditions and costs.
  • This operation is good news for the sector and the country, as it once again attracts the attention of international investors.
  • The support of Odinsa, its holding company Grupo Argos, and John Laing, shareholders of the concession, gives the transaction a trustworthy seal of approval that motivates the interest of the international banking market.

Medellín, Colombia, July 21th, 2021. Odinsa, a Grupo Argos concession company, reported today a new milestone in its 4G Conexión Pacífico 2 project, in Antioquia, which continues to advance in its purpose of contributing to the connectivity and competitiveness of the country. A new credit agreement was signed in order to refinance its debt in dollars. Four important international entities participated in the transaction: Itaú, SMBC, BNP Paribas and CDPQ Revenu Fixe Inc. (a wholly-owned subsidiary division of Caisse de dépôt et placement du Québec), for a total of US$260 million, which will support efficiencies and improve the project’s leverage and cost structure.

This positive market response shows the confidence of large international investors in Pacífico 2’s management and their interest in continuing to invest in Colombia and its infrastructure, as a key sector for reactivation, competitiveness, and development,” said Mauricio Ossa, president of Odinsa, the majority shareholder of Pacífico 2.

Itaú is pleased to accompany a great partner such as Odinsa in the refinancing of this important project, which has been handled in the best possible way. The works of the project are fundamental for the progress of the country, especially for the companies and the people of Antioquia, the Eje Cafetero and Valle del Cauca. This high-impact project contributes to the joint objective of leveraging and accelerating the country’s productive reactivation,” said Jorge Alberto Villa, Vice President of Wholesale Banking at Itaú Colombia.

At BNP Paribas we remain committed to Colombia’s growth. We consider that infrastructure projects such as Pacífico 2, in charge of first-class sponsors demonstrate that works can be done under the established time, cost and technical conditions.  These projects are vital for the development and competitiveness of the country, showing the capacity of local entrepreneurs to develop projects of great impact and scope“, said Jorge Valderrama, Country Head of BNP Paribas in Colombia.

“Pacífico 2 is a transformative project for Colombia, supporting the efficient movement of people and goods from production centres to ports and increased domestic economic activity. As a long‑term investor, we are happy to contribute again, alongside international financial partners, to the financing of key infrastructure that will have constructive impacts for trade and mobility for generations to come,” said Marc Cormier, Executive Vice-President and Head of Fixed Income at CDPQ.

The project responsible for Concesión La Pintada reports 99.8% of work completed, positioning it among the first fourth-generation (4G) roadway concessions that will finish its construction stage in the third quarter of 2021. It includes 96.5 kilometers in the Primavera-La Pintada and La Pintada-Bolombolo sections, which will facilitate the strategic connection between northern departments of the country, Antioquia, the Eje Cafetero, and the Pacific Coast.

The project’s significant advancement of work, and the positive results in terms of mobility, operations, and social and environmental management, combined with the support of shareholders, Odinsa, its holding company Grupo Argos, and John Laing, provide a seal of confidence in the banking market, allowing a positive response and the achievement of positive conditions for the success of the process.

In the coming weeks, subject to the fulfilment of contractual conditions, funds will be disbursed and used for the payment of debt, shareholder dividends, and project operations.

Finally, it should be recalled that Pacífico 2 was the fifth project of the 4G program to receive its disbursement for the financial close in 2017, in which international entities for the financing of 4G projects in Colombia, such as Itaú and CDPQ, reiterate their confidence in the project by also participating in the refinancing today.

For additional information contact:

Viviana Arroyave, Communications Director / varroyave@odinsa.com / 3176469218.

Visit www.odinsa.com and our social networks @SomosOdinsa on Twitter and Odinsa on LinkedIn.

16 youths from the Province of Cartama graduate as Environmental Technicians to lead the care of the ecosystems in the region

  • The youths are part of the first group of beneficiaries of the Cartama Seedbed project, which seeks to contribute to the development of southeastern Antioquia by training youth on environmental care and management.
  • The youths will join the workforce to cover skilled labor requirements in the region to develop the Sustainable Cartama Alliance Project.
  • The Cartama Seedbed project is a partnership between the foundations of Grupo Argos, Aurelio Llano, Julio C. Hernández, Comfama, SENA, Cartama Province and the Concession of La Pintada, responsible for the Conexión Pacífico 2 project.

With 16 youths from southeastern Antioquia graduating as Environmental Technicians, the Cartama Seedbed partnership made available to the region the first cohort of skilled labor to work on the Cartama project, which promotes the recovery of the forests on the banks of the Cartama River by planting 300,000 trees in 2021 by Grupo Argos in the framework of the Unidos por el Planeta (United for the Planet) initiative signed with the office of the governor of Antioquia.

During 3 semesters, the youths received training from experts on topics such as solid waste management and integrated management of water resources and of the territory. The students had the opportunity to obtain practical professional experience by supporting reforesting activities, advising communities on good environmental practices and environmental education workshops with children and retailers in the region.  They also received one-year licenses for learning platforms to consolidate their bilingual skills.

We are convinced on the transformational role of education in the development of the territories, and for this reason we celebrate the graduation of this first cohort of scholarship beneficiaries who, starting today, will lead in the care of the forests and ecosystems in their region, becoming our partners to promote sustainable development in southeastern Antioquia.”

María Camila Villegas

Operations Director of Fundación Grupo Argos

Aware of the importance of educating people in the region to work in favor of their territory in line with the good sustainability practices of our majority partner Odinsa, we are betting on education as the key pillar to promote development. The southeast is a powerful region that stands out for its drive and the warmth of its people. These youth who graduate today demonstrate that the learning process is ongoing and that it creates huge opportunities when people are committed to it.”

Gustavo Bernal

Manager of Concesión La Pintada. 

“For Fundación Aurelio Llano Posada it is very important to train rural youth in relevant topics for their territories of origin, which enables them to consolidate their roots with the territory where they were born, while at the same time providing them opportunities for professional and personal development. Because of this, the graduation of 16 youths in Environmental Technology, who we supported with other organizations and companies that are present in the area of Cartama, fills us with pride. To the youths and their families, receive our recognition and congratulations.”

Iván Darío Sánchez Hoyos

Executive Director of Fundación Aurelio Llano Posada   

We believe that the sustainable development of a territory is promoted by recognizing the human talent, the wealth of a biodiverse territory, and by working for local employment. Offering opportunities and tools to build life projects in the regions of Antioquia is the decision this group of institutions has made. Today we are planting seeds to continue strengthening talent in the southeast. We hope these trees will grow and to continue planting many more.” 

Mauricio Pérez Salazar

Responsible for regions at Comfama.

This project is one of several initiatives undertaken by the partners, in coordination with the local mayors, to promote development in the region and contribute to the conservation of strategic ecosystems while providing opportunities for education and employment. 

On its part, Fundación Grupo Argos will continue to provide opportunities to youth from the region to have access to educational programs on the environment, sustainable cattle ranching, agricultural sciences and natural resources. 

Download the press kit here: https://we.tl/t3NKXagiGAB  

Press room: https://www.grupoargos.com/esco/media/noticias  

For additional information, contact:

Iván Trujillo Institutional Relations and Communications Manager itrujillo@grupoargos.com Mobile: 313 8291863      Manuel Valencia       Communications Director mvalencia@grupoargos.com  Mobile: 3113845611

Grupo Argos and its concession company Odinsa highlight two new milestones of their 4G Conexión Pacífico 2 road project, which has reached a completion rate of 93.47%

  • As part of the visit to Pacífico 2, the President of Colombia observed the progress of the Cauca Bridges, an important and iconic work of the project that has become a new milestone. It is made up of 490-meter bridges that rise up to 112 meters over the Cauca River, a little more than half the height of the Colpatria Tower in Bogotá.
  • Also, in an official act chaired by the President of Colombia, the Minister of Transport and the President of ANI, together with Grupo Argos, Odinsa and La Pintada concession, which is in charge of the project, the inauguration of the new Operations Control Center of Pacífico 2 was held.
  • Conexión Pacífico 2 currently reports a completion of 93.46%, positioning itself among the first 4G road concessions projects to finish the construction stage

October 9, 2020. Grupo Argos and its concession company Odinsa continue making progress in their goal to contribute to the country’s connectivity and competitiveness. This Friday, the companies, along with their La Pintada Concession, in charge of the Conexión Pacífico 2 Project in Antioquia, reported the achievement of two new construction milestones through which the project is steadily making progress in its execution and contribution to the region’s development:

Cauca Bridges

The closing of key segments of the Cauca Bridges is a great engineering milestone of the Pacífico 2 project in which both work fronts, advancing from each end of the bridge, met, thus enabling transit from one side to the other.

This important and iconic work of the project is made up of 490-meter bridges that rise up to 112 meters over the Cauca River, a little more than half the height of the Colpatria Tower in Bogotá.

The closing of key segments of the bridge is a very important step in the mission to connect the southern, central and northern regions of the country, with works that meet the highest quality standards to contribute to the connectivity, development and competitiveness of Colombia.

Pacífico 2 Operations Control Center

Additionally, the President of Colombia inaugurated the new Operations Control Center, which will operate as a space for community use to promote the integration and implementation of various social and cultural activities.

It is an infrastructure designed by renowned Colombian architect Giancarlo Mazzanti, inspired by the region’s coffee plantations and whose highly visible red deck makes it an aerial landmark.

The CCO is equipped with modern technology tools to monitor the safety of road users and will also become a place of community use for various social, cultural and educational activities such as farmer’s markets and tourism circuits, among others.

The new work was officially inaugurated in an event chaired by the companies, the President of Colombia, Iván Duque Márquez, the Minister of Transport, Ángela María Orozco and the President of the ANI, Manuel Felipe Gutiérrez, attended by the Governor of Antioquia and the mayors of the municipalities neighboring the project and representatives of other entities.

“The Conexión Pacífico II project is a forceful and tangible demonstration of Grupo Argos’ confidence in the country, in institutionality and in the boost to infrastructure led by the Colombian Government. Through Grupo Argos, we will continue to promote transformational projects that create social value and contribute to economic revitalization and rapid reactivation,” said Jorge Mario Velasquez, CEO of Grupo Argos.

“We celebrate this new milestone of engineering, sustainability and social management achieved by Conexión Pacífico 2, a project that has contributed to the connectivity of the region, its social and economic development and its environmental protection” said, Mauricio Ossa, CEO of Odinsa.

These milestones are added to the outstanding management of the project throughout its execution in which it has created more than 3,500 jobs and achieved other important goals in terms of financing, operations, infrastructure, and social and environmental management.