Melbourne’s EastLink operator, ConnectEast, has reached a $1.11 billion refinancing agreement with its existing and new lenders for all of its existing debt.
ConnectEast is a privately-owned company dedicated to the financing, design, construction, maintenance and operation of the 39-kilometre EastLink toll road connecting Melbourne’s eastern and southeastern suburbs.
Law firm Allen & Overy (A&O) today announced it had advised ConnectEast on the refinancing, resulting in a new syndicated debt facility that refinances all $801.5 million of ConnectEast’s existing bank debt and $300 million of Australian medium-term note (AMTN) debt.
A&O partner James Abbott said the refinancing would enable ConnectEast to continue maintaining and operating one of Melbourne’s vital arterial roads.
“A&O is pleased to support ConnectEast on this achievement,” he said. “The refinancing was timely. When ConnectEast approached potential lenders, the company found a strong market available to borrowers of ConnectEast’s calibre and reputation, resulting in four existing lenders and five incoming lenders participating in the new syndicated facility.”
ConnectEast’s Chief Finance Officer Peter Holdaway thanked existing lenders for demonstrating their continued support for the EastLink tollway and its customers.
“We warmly welcome the new banks that have chosen to join the lending group. The refinancing was well supported by existing and new lenders, demonstrating the resilience of the EastLink cashflows throughout the COVID-19 pandemic,” Mr Holdaway said.
The A&O team was led by Sydney partner James Abbott, supported by senior foreign registered lawyer Emma Avery and lawyer Waiana Mulligan.
ConnectEast is contracted by the Victorian Government to maintain and operate the Eastlink tollway through to 2043.
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