French giant Vinci bankers up for EastLink tilt
French infrastructure giant Vinci Group has boomeranged back to its former Aussie advisers for a run at Melbourne’s EastLink toll road, as the auction heats up before first-round bids.
Street Talk understands Vinci has drafted in Rothschild & Co’s local infrastructure team to advise it on a tilt for EastLink, after conducting an investment bank beauty parade last month. Non-binding indicative bids are due by the end of the month.
The pair know each other well. Rothschild was Vinci’s bank of choice in 2019 when it lobbed a bid for Hobart Airport. It made the shortlist but lost out to QIC and the Netherlands’ Schiphol Group.
Rothschild could not be reached for comment on Tuesday.
Vinci’s decision to bring in advisers at EastLink shows it is shaping up to be a serious competitor for the $300 million-a-year toll road. The group is capitalised at €63 billion ($104 billion) on the Euronext and is among the world’s biggest listed infrastructure players, with holdings in toll roads, airports, energy and construction.
Although it is battling higher French toll road taxes – just like ASX-listed Atlas Arteria – it reported €61.7 billion in revenue last year and shouldn’t have trouble funding a bid.
The auction’s big gorilla, Transurban, is yet to make up its mind on whether it wants to contest the ACCC’s opposition handed down on September 21 – the status quo was unchanged as of Tuesday evening. Of note, it has kept its advisory line-up – Morgan Stanley, Barrenjoey, Macquarie Capital and Azure Capital – saddled and waiting.
The ACCC speed bump has paved the way for offshore bidders to come in. Citi and JPMorgan have signed up to work for Spanish toll roads giant Abertis Infraestructuras, and Lazard is tending to Queensland
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