Successful bidding for Mactan Airport project

December 13, 2013

The Philippine Government successfully concluded the second stage of the public bidding for the expansion of the Mactan Cebu International Airport, one of the biggest projects tendered under the Public Private Partnership program.

The consortium of GMR Infrastructure (India) and Megawide Construction Corp. submitted the highest bid of P14.4Billion, beating the bids of competitors comprising of some of the top Philippine conglomerates: AAA Consortium (composed of Ayala Corporation, Aboitiz Equity Ventures Inc and Houston Airport System), MPIC-JGS Consortium (of Metro Pacific Investments Corp and JG Summit Holdings Corp with partner Aeroports de Lyon), Premium Airports (of SM Investments and partner Flughafen Zurich AG), SMC-Incheon (comprising of San Miguel Corporation and Incheon International Airport Corporation) and Filinvest-CAI Consortium (of Filinvest Develompment Corp. and Changi Airport of Singapore).

The project, valued at US$407.44Million, involves the construction of a new world-class passenger terminal building, with a capacity of about eight million passengers per year and the renovation of the existing passenger terminal building. The winning bidder will also operate and maintain the two terminals for a period 25 years.

The Department of Transportation and Communications will issue the notice of award, following the verification of the bid documents submitted by Megawide. According to news reports, the Government is pleased with the participation of the bidders and the turn-out of the bids was better than expected.

PJS Law acted as the transaction advisor for the Philippine Government for this project, together with Deloitte Touche. The PJS team is led by partners Gwen De Vera and Ramil E. Bugayong and includes associates Miguel A. Robillo and Francis Alvin V. Asilo.

[with reports from GMA News Network]