GEK TERNA (Bloomberg: GEKTERNA GA / RIC: HRMr.AT) announces that it has been named temporary contractor for two Public-Private Partnership (PPP) projects in Northern Greece, with a total investment of approximately €560 million (excluding VAT).
More specifically, GEK TERNA will undertake their design, construction and financing, through a combination of equity and loan capital, as well as their operation and maintenance throughout the contractual period.
More specifically, the two projects concern:
• The upgrade of the EO2 road axis: Construction and upgrade of sections with a total length of approximately 25 km (Mavrovouni – Edessa and the Giannitsa and Chalkidona bypasses), as well as operation and maintenance of the Gefyra Axios – Edessa axis, with a total length of approximately 52 km.
• The Drama – Amphipolis road axis: Construction and upgrade of sections with a total length of approximately 43 km and nine grade-separated interchanges, as well as operation and maintenance of the main axis.
GEK TERNA’s selection as temporary contractor resulted from two separate tender procedures, with the participation of three consortia in each.
In both tenders, GEK TERNA’s offer was selected as the most competitive and the most economically advantageous, based on the best quality-price ratio in accordance with the stipulated award criteria, ensuring the maximum financial benefit for the Greek State.
This result confirms the Group’s consistently proven ability to submit competitive and fair offers for complex infrastructure projects, combining technical and financial adequacy, as well as competitive financial terms.
The two projects have a construction period of three years and an operation period of 27 years. They are expected to create significant benefits at local, regional and national level, contributing to the upgrade of road infrastructure and connectivity in Northern Greece.
Following GEK TERNA’s selection as temporary contractor, the stipulated stages for the finalization of the awards, the declaration of the final contractor and the signing of the Partnership contracts will follow.
The GEK TERNA Group will inform the investment community of any material development, in accordance with the applicable regulatory framework.