NLEX, SLEX link

Metro Pacific Tollways Corp. is looking for strategic partners for a planned multibillion-peso road project that will link the North and South Luzon expressways.

Company president Ramoncito Fernandez told reporters that the 13-kilometer totally elevated road connecting the North Luzon Expressway (NLEX) to Skyway and the South Luzon Expressway (SLEX) would be "capex-heavy" so they need partners for the venture.

"We're open to discussing [the connector road] with any potential partners. [It will be a consortium] but we don't know yet the structure. We are in the process of finding a financial adviser," he said, noting that the project is not within the scope of the concession of unit Manila North Tollways Corp. (MNTC).

Fernandez noted that Metro Pacific Tollways and state-owned Philippine National Railways have completed a pre-feasibility study on the P16-billion project, which will span from Road C3 in Caloocan City to Sen. Gil Puyat Avenue in Makati City. Around 80% of the connector road will be built over existing rail tracks and will shorten travel time from NLEX to SLEX to only 15 to 20 minutes.

Aside from the connector road, Metro Pacific Tollways is also eyeing to undertake Segments 9 and 10 or phase 2 of the NLEX which will require a construction cost of P10 billion.

"We're doing a lot of detailed studies. Segments 9 and 10 are still on preparatory stage," Fernandez said.

Segment 9 is a 4-lane, 3-km expressway linking NLEX to MacArthur Highway in Valenzuela City while Segment 10 will extend NLEX to Port Area via a 4-lane, 5-km elevated road from MacArthur Highway.

The two segments as well as the connector road are part of Metro Pacific Tollways' lineup of P38 billion worth of tollway projects. Other projects include Segment 8.1, a 6-lane expressway from Mindanao Avenue to the NLEX, and the Skyway Stage 2, where MPTC intends to increase its stake substantially.

Fernandez noted that Segment 8.1 has already been "financed internally" while 9 and 10 and the connector road will have to be funded through a combination of debt and equity.

"We'd like to have [the new projects] in 3 years. We might go to the market for funding."

Higher Manila North and Skyway stakes

Fernandez said they are in talks to buyout minority partner Leighton International Ltd. in MNTC after the latter expressed its interest to sell shares to Metro Pacific Tollways.

"They have signified their interest to sell," he said.

Metro Pacific Tollways owns 67.1% of MNTC while Leighton holds around 17%.

Meanwhile, the company is also eyeing to beef up its stake in the Skyway 2 project to around 30-33% from the current 5%, said Jose Ma. Lim, president and chief financial officer of Metro Pacific Investments Corp., parent of Metro Pacific Tollways.

"We're still waiting for them (CMMTC) to finalize. We have come to agreement in principle on the terms and pricing but this is still subject to confirmation," he said.

CMMTC or Citra Metro Manila Tollways Corp. is currently building Skyway 2, a P10-billion 7-km elevated expressway connecting Bicutan to Alabang. Lim said the company has a combined holdings of about 66% in the project.

With a report from Liza Reyes, ABS-CBN News


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