Spark consortium signs contract to deliver the North East Link Primary Package PPP
Posted: October 28, 2021
Capella Capital today announced that the Spark consortium has signed a contract to finance, design, construct, maintain and operate the North East Link Primary Package PPP being the major component of the broader North East Link Project.
The $11.1 billion North East Link Primary Package PPP – the largest transport project in Victorian history and the largest PPP in Australian history – will provide 6.5km three-lane twin tunnels that will finally close the missing link in Melbourne’s freeway network. Up to 135,000 vehicles will use North East Link every day, reducing congestion in the north-east while maintaining local roads for local trips.
Capella Capital is the infrastructure developer, financial advisor, equity investor (on behalf of Lendlease) and Project Co asset manager for this innovative project. Among the most successful financial sponsors in the nation, Capella Capital has won over $30 billion in PPP projects in the last ten years and is consistently providing innovative solutions for multiple successful consortiums and State clients.
Capella Capital Managing Director, Malcolm Macintyre, said:
“Capella Capital is very proud to have had a leading role in the Spark consortium for the past two years through the EOI, RFP and closing phases. Our role on the project demonstrates our holistic approach – from origination through to asset management and investment, providing a long-term commitment to our State Government clients and consortium partners.
North East Link has strengthened Capella’s market leading track record in PPPs, especially transport related PPPs. We also believe that the Project’s unique and innovative ITC PPP contract proves the viability and value for money of the PPP model and we look forward to utilising this model to ensure the successful delivery of the Project.”
Spark Project Director, Chris Oliver, said:
“Spark is delighted to be delivering the largest transport project in Victorian history and the largest PPP in Australia. We look forward to working with the State to begin delivery of the project with our broader consortium partners and other stakeholders to deliver a world class transport solution for the community with opportunities for local employment and procurement.”
The Spark consortium also includes WeBuild, GS Engineering and Construction, CPB Contractors, China Construction Oceania, Ventia, John Laing, DIF and Pacific Partnerships and was announced as the preferred bidder in June 2021.