Jorge Chávez International Airport obtains US$ 1,250 million Expansion

posted on 9th January 2023 by Eddie Saunders
Jorge Chávez International Airport obtains US$ 1,250 million Expansion

Lima Airport Partners (LAP) has signed a financing agreement for US$ 1,250 million with seven international banks – BBVA, IDB Invest, KfW IPEX Bank, Mitsubishi UFJ Financial Group (MUFG), The Bank of Nova Scotia, Société Générale and Sumitomo Mitsui Banking Corporation (SMBC) under the Project Finance scheme, to finance the expansion project of the Jorge Chavez International Airport.

LAP and Fraport Finance teams managed the transaction, while SMBC acted as financial advisor.

Pilar Vizcarra, LAP’s Chief Financial Officer, commented: “Having obtained a financing of this magnitude has been a big challenge, which has required a significant effort from our entire team in such a difficult global environment, especially in the aviation sector.

“The closing of this transaction marks a key milestone in the expansion of the Lima airport.

“It reflects the confidence of the banks in the capacity and experience of Lima Airport Partners and its shareholders to conduct this big project and operate a first-class infrastructure, which will generate many sources of work and development opportunities for the country.”

With these resources, LAP will continue with the construction of the new Passenger Terminal, which is estimated to begin operations in January 2025.

The works carried out by the consortium Inti Punku, composed of construction companies SACYR of Spain and Cumbra of Peru, contractor for the EPC (Engineering, Procurement and Construction) are advancing and include the construction of support infrastructure such as aircraft parking platforms, a complex of utility services, roads, and vehicle parking.

Likewise, the US$ 450 million loan obtained by LAP in September 2020, with which the investments on the Airside were financed, will be repaid with the proceeds of this financing.

Airside works have concluded and are in the process of being delivered to the Peruvian State for the start of operations, including a new air traffic control (ATC) tower, the second runway, taxiways, a new aircraft parking platform, new operating facilities, among others.