MPIC tollway arm increases stake in Indonesia infra firm

MANILA, Philippines — The tollways arm of Metro Pacific Investments Corp. (MPIC) has increased its stake in PT Nusantara Infrastructure Tbk, an Indonesian infrastructure company with interests in tollways, port operations, water, energy and telecommunications.

In a filing to the Philippine Stock Exchange, MPIC said Metro Pacific Tollways Corp. (MPTC) entered into an agreement with PT Matahari Kapital Indonesia to acquire its 6.6 billion shares representing 42.25 percent of PT Nusantara for P6.9 billion ($132 million).

With the transaction, MPTC will now hold 47.08 percent of the total issued capital stock of PT Nusantara on a fully-diluted basis.

“MPTC will support the existing management of PT Nusantara by sharing our brand of service and helping the Indonesian firm realize its growth potential, especially in the toll road sector,” MPTC president and chief executive officer Rodrigo Franco said.

PT Nusantara chief executive officer Muhammad Ramdani Basri said the “tie-up with MPTC blends the expansive management style of Metro Pacific with PT Nusantara’s geographic reach and expertise in managing Indonesian projects.”

PT Nusantara operates a total of 34.47 kilometers in toll roads in four places in Indonesia–connecting an airport, a seaport and business districts.

MPTC, on the other hand, is the leading tollways developer and operator in the Philippines, operating the 84-kilometer. North Luzon Expressway, 94-kilometer Subic Clark Tarlac Expressway and the 14-kilometer Manila Cavite Toll Expressway.

It also has three other toll concessions currently under construction. These are the 45-km Cavite Laguna Expressway, the eight-kilometer Cebu-Cordova Link Expressway, and the eight-kilometer NLEX-South Luzon Expressway connector road.

Aside from the Philippines and Indonesia, MPIC is involved in the tollway business in Thailand and Vietnam.

In Thailand, MPIC has a 29.5-percent equity interest in toll road operator Don Muang Tollway Public Co. Ltd.

In Vietnam, MPIC has a 45 percent effective interest in CII Bridges and Roads Investment Joint Stock Co. which has road and bridge projects in and around Ho Chi Minh City.