Portfolio Scope
Below we provide a comprehensive overview of S&P Global Ratings' transportation infrastructure portfolio broken down between four asset types: roads, railways and mass transit, airports, and ports; and across five market sectors: North America, Latin America (LATAM), Asia-Pacific (APAC), and Europe, the Middle East, and Africa (EMEA). We discuss changes in the ratings and outlooks since the end of 2022, as well as the portfolio's profitability and cash flow performance at a high level.
This report focuses on debt issues rated under our General Project Finance Rating Methodology ("projects") and issuers rated under our Corporate and Project Developers Methodologies. It does not include credits rated under Americas Public Finance (APF) or International Public Finance (IPF) methodologies (see Related Research for further resources on these sectors). We also note that this report focuses on unenhanced ratings; therefore, for credits that have enhanced ratings provided by a monoline wrap, we use S&P Underlying Ratings (SPUR) in our analysis. All global ratings data is as of July 19, 2024.
Roads And Car Parks
Rating distribution and changes
Roads, constituting over half of our transportation infrastructure portfolio, experienced notable ratings uplift since the start of 2023. While we affirmed 73% of the portfolio, we upgraded 21% (18 credits) at least one notch and only downgraded 5% (four credits). The 'BBB' median rating for roads is in line with the 'BBB' median rating for the transportation infrastructure portfolio as a whole.
Chart 1
Upgrades occurred primarily in EMEA and LATAM, along with a handful in North America. Corporate roads saw less ratings movement compared to project finance ratings--within roads, 72% of upgrades and 100% of downgrades were to project finance credits. This was partially attributable to the rollout of the revised General Project Finance Rating Methodology, published in December 2022.
For example, Autopistas Metropolitanas de Puerto Rico LLC (BBB/Positive) was upgraded due to its minimum DSCR of 1.55x at an operations phase business assessment (OPBA) of '5' now mapping to a preliminary operations SACP one notch higher. Meanwhile, Sociedad Concesionaria Autopista Central S.A. (A/Negative) was upgraded due to its liquidity now assessed as strong under the new criteria, providing a notch of uplift.
Furthermore, the upgrade to Brazil (BB/Stable) in December 2023 primarily drove a large number of upgrades in Latin America. This is because the sovereign caps the ratings of most of our rated roads and ports in the country.
Aside from the criteria change, robust traffic volumes drove several upgrades. Autopista del Sol Concesionaria Espanola S.A. (BBB+/Stable), Autovia de la Mancha S.A. (BBB-/Stable), CountyRoute (A130) PLC (B+/Positive), and car park operator Indigo Group S.A. (BBB/Stable) were all upgraded on resilient earnings and debt service performance driven by traffic volume growth. Traffic for Autopista del Sol Concesionaria Espanola in September 2023 increased 14% year over year, Autovia de la Mancha experienced record-high traffic volumes, and CountyRoute A130's resilient traffic volumes exceeded our forecast despite softness in heavy vehicle traffic.
Additionally in North America, NYNJ Link Borrower LLC (A-/Stable) was upgraded to 'A-' from 'BBB+' on sustained strong performance. The project, which benefits from availability-based revenues, has had no deductions, and operating costs sustained around 30% below original projections.
This positive ratings shift reflects our view of a strong recovery for the toll road sector following the COVID-19 pandemic and our belief that rebounded traffic volumes will continue to sustain cash flow for our road projects. Furthermore, roads across our portfolio implemented toll rate increases successfully, mitigating inflation and supporting consistent debt-service coverage without losing volume.
The newly introduced tax in France on long-distance transportation infrastructure to fund the decarbonization of the sector has not had a material bearing on our toll road ratings. However, it will slightly reduce EBITDA margins for 2024 (see "New French Transport Infrastructure Tax Could Delay Operators’ Long-Term Deleveraging Plan", published on Jan. 22, 2024, on RatingsDirect). Operators are generally mitigating the financial impact by reducing their dividend distributions amid solid headroom.
Our smaller grouping of roads ratings in APAC held stable, underpinned by continued traffic recovery, good financing access, and persistently robust government support. In China, we expect traffic growth to moderate following a strong post-COVID rebound in 2023. We are also observing tapering road investment in the country, due policymakers' tightening control over debt risk, particularly in high-risk provinces identified based on local governments' debt burdens. Despite this, most companies still maintain their access to low-cost funding.
The small handful of downgrades were mostly attributable to factors other than underlying trends in traffic. We downgraded Rutas de Lima S.A.C. (CCC+/Negative) to 'CCC+' from 'B-' because the Constitutional Court of Peru issued a judgement against the project ordering a suspension of all toll collections at one of the project's routes, which constitutes approximately 30% of the project's revenue. As a result, we now project the project will post DSCR under 1x for 2024 and will gradually deplete its reserve accounts. In EMEA, the downgrade of Ostregion Investmentgesellschaft Nr. 1 S.A. (B+/Stable) reflects a higher budget for life-cycle costs.
ENA Norte Trust (CCC+/Stable) was an exception, which we downgraded to 'CCC+' from 'BB-'. This stemmed from traffic underperformance relative to our expectations over the past six years due to the COVID-19 pandemic, increasing competition, lower GDP growth, and, more recently, protests in Panama City. We now forecast cash flow available for debt service (CFADS) and liquidity reserves will be insufficient to pay down the April 2028 maturity, exposing the project to refinancing risk.
Outlook distribution and revisions
The overarching outlook for roads remains steady, with a stable outlook for 87% of credits and a chiefly neutral outlook bias (6% positive and 7% negative). Accordingly, we expect the portfolio to hover near its current level in 2024, with less movement in the ratings compared to the upward swing observed in 2023.
While we believe traffic recovery has already stabilized for most of the portfolio, a minority of toll road credits continue to realize upside from such tailwinds. The positive outlooks on Autopistas Metropolitanas de Puerto Rico, CountyRoute (A130), and Elizabeth River Crossings Opco LLC (BBB/Positive) reflect our expectations for continued traffic growth driving revenue and coverage improvements.
In addition to the observed upgrades and credits on positive outlook, we note multiple credits have experienced outlook revisions to stable from negative since year-end 2022. For example, we revised the outlook for Nouvelle Autoroute 30 S.E.N.C. (BBB+/Stable) following traffic recovery and stabilization a year ahead of our expectations. This allowed for successful toll rate expansions, bolstering cash flow and coverage ratios.
Furthermore, our small set of rated parking operators has witnessed similar trends as toll roads, with healthy volume growth and toll rate increases supporting credit quality. The current positive outlook on car park operator MEIF 5 Arena Holdings SLU (BB-/Positive) reflects this recovery and our expectation that credit metrics will continue to improve.
Conversely, negative outlooks largely stem from location-specific issues in LATAM. The negative outlook on Chile (A/Negative), due to weakening political consensus, drives the negative outlooks for Sociedad Concesionaria Autopista Central and Sociedad Concesionaria Costanera Norte S.A. (A/Negative), while the negative outlook on Panama (BBB/Negative), due to the Minera Panama mining contract controversy, drives the negative outlook for ENA Master Trust (BBB/Negative). Meanwhile, as noted earlier, the negative outlook on Rutas de Lima S.A.C. (CCC+/Negative) reflects the ongoing judicial dispute with the Constitutional Court of Peru.
Railways And Mass Transit
Rating distribution and changes
Compared to all other transportation asset types, railways and mass transit demonstrated the greatest stability throughout 2023 and thus far in 2024. We affirmed 86% of ratings, while we upgraded 7% (two ratings) and downgraded 7% (two ratings). All rating changes were to corporate entities, with two upgrades in EMEA, one downgrade in EMEA, and one downgrade in APAC. In EMEA and APAC, stronger rail and mass transit ratings compared to roads or airports typically incorporate our view of extraordinary government support, which may contribute to ratings' high stability.
Ukrainian Railways JSC (CCC+/Negative) was upgraded to 'CCC+' from 'SD' (selective default) after a debt restructuring extended its maturity profile. Near-term liquidity pressures have eased; however, we maintain a negative outlook given the potential effects of the Russia-Ukraine war on the railway's ability to generate operating cash flow.
We also upgraded Vygruppen AS (A-/Negative) after the group was awarded two 10-year direct purchase contracts in Norway. While this points toward a supportive regulatory framework supporting a higher rating level, the recent negative outlook reflects higher lease-funded spending and weaker profitability than previously expected.
Meanwhile, One Rail Australia Holdings Ltd. (BB-/Stable) experienced multiple downgrades since the end of 2022. In May 2023, we downgraded One Rail to 'BB' from 'BBB-' due to A$200 million of additional subordinated debt incurred as part of an acquisition by Magnetic Infrastructure Group Pty Ltd. (MIG). Another downgrade to 'BB-' from 'BB' followed in April 2024 due to weaker consolidated financial leverage following an additional A$125 million of mezzanine debt issued by MIG to meet the balance consideration for its purchase of One Rail. While One Rail has a stand-alone credit profile of 'bb+' and stronger FFO to debt compared to MIG, the rating is limited by the group credit profile of 'bb-' given our assessment of One Rail as a core subsidiary of the group.
New to the portfolio is Brightline Trains Florida LLC (BBB-/Stable) and Brightline East LLC (B/Stable), the operator and parent, respectively, of the 235-mile high speed passenger rail project with service newly opened between Miami and Orlando, Fla. We rated $2.2 billion of senior tax-exempt bonds issued by the operating company and $1.3 billion of senior secured debt issued by the parent.
Outlook distribution and revisions
Following high stability in 2023, the outlook for railways and mass transit in 2024 holds largely steady. While 81% of ratings maintain a stable outlook, 13% carry a negative outlook and 6% carry a positive outlook. The greater number of negative outlooks more so reflects sovereign ratings and regional events than trends in the rail sector. Current negative outlooks include Empresa de los Ferrocarriles del Estado (EFE; A/Negative), reflecting the negative outlook on Chile; Societe Nationale SNCF S.A. (AA-/Negative), reflecting the negative outlook on France (AA); and Ukrainian Railway JSC, due to the ongoing war.
Conversely, the positive outlook on Channel Link Enterprises Finance PLC (BBB/Positive) reflects the company's resilient financial profile in spite of competition with ferries, a soft U.K. economy, regulatory changes on the EU's entry/exit system, and renovations at Amsterdam Centraal train station. Likewise, the positive outlook on High Speed Rail Finance (1) PLC (BBB+/Positive) reflects an increase in traffic volumes, with rating upside contingent on improved performance from revenue counterparty Eurostar.
Additionally, we note positive movement since 2022 in three outlook revisions to stable from negative-- East Japan Railway Co. (A+/Stable) and Central Japan Railway Co. (A+/Stable), reflecting rebounded passenger traffic, and Kazakhstan Temir Zholy (BB/Stable), mirroring the outlook revision to the sovereign Kazakhstan (BBB-/Stable). We note there were no positive outlooks at year-end 2022 that have since been revised downward to stable.
Despite a negative outlook bias, we maintain our view that credit quality in the rail sector is strong. Of railway and mass transit ratings, 79% remain investment-grade, while the median rating of 'BBB+' is robust against the transportation infrastructure portfolio median rating of 'BBB'. Improvements in ridership coupled with strong regulatory support have helped sustain debt service coverage and leverage metrics, and the large majority (approximately 81%) of outlooks remain stable.
Airports
Rating distribution and changes
Airports' credit strength has demonstrated resiliency through 2023 and thus far in 2024. The 'BBB+' median rating for airports fares well compared to the 'BBB' transportation infrastructure portfolio median. Similar to roads, we have witnessed substantial positive movement in the ratings. Since the end of 2022, 22% of the portfolio has been upgraded, while 72% has held stable. All six project finance ratings and all four North American ratings were affirmed investment grade, two of which are airport-related services. Several upgrades occurred globally, reflecting our view of solid industry recovery following the travel impacts of the COVID-19 pandemic. As air passenger traffic has progressed, so too have our expectations for profitability and cash flow metrics, thus bolstering credit quality. The upgrade to Aeropuertos Dominicanos Siglo XXI S.A. (BB/Stable) reflected this.
That said, in EMEA, airport ratings generally remain one to two notches below pre-pandemic levels, despite traffic having reached or surpassed 2019 levels. This is because leverage remains 20% higher on average compared to before the onset of the pandemic, which strained leverage metrics due to travel restrictions. Looking forward, we believe rating trajectories will be more company-specific, hinging on traffic levels, regulations and tariff increases, and capital expenditure plans and financial policies.
In APAC, we observed positive ratings trends--GMR Hyderabad International Airport Ltd. (BB/Stable) was upgraded on higher approved tariffs and robust traffic, while Delhi International Airport Ltd. (BB-/Positive) was upgraded in July 2023 to 'B+' from 'B' on the back of stronger traffic recovery and profitability, and subsequently again in May 2024 to the current 'BB-' rating due to expected higher tariffs underpinning material improvements in cash flow. Despite this, lagging international passenger traffic recovery at some APAC airports, compared to global averages, still weighs on cash flows.
Meanwhile, Christchurch International Airport Ltd. (A-/Stable) benefitted from city council support, while Royal Schiphol Group N.V. (A/Positive) benefitted from stronger cash flows resulting from higher airport charges and a delay in implementing a cap on air traffic movements (ATMs).
The only downgrades within airports were to Aeropuertos Argentina 2000 S.A. (CCC/Stable), reflecting the transfer and convertibility (T&C) assessment for Argentina (CCC/Stable), rather than underlying troubles within the asset class; and Aeroports de Paris (A-/Stable), mirroring the sovereign rating.
New to the portfolio in 2023 is TAV Airports (BB-/Stable) an owner and operator of a portfolio of airports primarily in Turkiye and across EMEA, and part of Aeroports de Paris group. We rate TAV Airports above the sovereign rating on Turkiye (B+/Positive), reflecting the company's offshore cash reserves and geographic diversification.
Outlook distribution and revisions
The outlook distribution for airports also saw a positive shift. Several airport credits experienced an outlook revision to stable from negative, including Gatwick Funding Ltd. (BBB/Stable) and daa PLC (A-/Stable), largely due to our expectations for air traffic improvements. The outlook for Delhi International Airport was revised to positive based on our expectation of higher approved tariffs, supported by solid passenger traffic recovery and higher profitability.
Meanwhile, two credits bear a negative outlook, including Investimentos e Participacoes em Infraestrutura S.A. (CCC+/Negative), reflecting the project's reliance on the resolution of a judicial dispute to absolve liquidity pressures.
Ports
Rating distribution and changes
Compared to the rest of the transportation portfolio, ports show the weakest credit strength with the lowest proportion of investment-grade credits. The median rating for ports falls between 'BBB-' and 'BBB', compared to median ratings of 'BBB' or better for the rest of the transportation asset types. That said, we believe this reflects the relative competitiveness and volatility of the ports sector compared to other transportation sects, rather than issues or challenges characterizing 2023 and 2024.
We note that ports are the smallest group of the broken-out asset types, constituting only 11% of project finance and corporate transportation infrastructure ratings, and that our rated ports are largely concentrated in APAC. Additionally, we note that four ports in Asia categorized as availability-based derive their revenues through a take-or-pay (TOP) mechanism that supports stable revenues.
Despite relative weakness compared to the broader portfolio, our group of rated ports demonstrated positive ratings movement. Since 2022, 74% of credits have held at the same rating level, while we upgraded 21% (four credits) and downgraded 5% (one credit). In 2023, China Merchants Port Holdings Co. Ltd. (BBB+/Stable) was upgraded to 'BBB+' from 'BBB' based on our view that it remains a highly strategic subsidiary; its parent, China Merchants Group, strengthened its credit profile because of its designation as a state capital investment company, which helps the central government develop and reform China's state-owned enterprises. We also upgraded Mersin International Port (BB-/Positive) one notch in December 2023 and an additional notch in May 2024, reflecting similar sovereign rating actions on Turkiye, while its stand-alone credit profile remains 'bbb-'.
Meanwhile, we downgraded Port of Newcastle Investments (Financing) Pty Ltd. (BB+/Positive) to 'BB+' from 'BBB-' in September 2023. The rating action stemmed from a weakened financial profile due to softened coal volumes, lower earnings, and higher interest costs. We subsequently revised the outlook to positive in April 2024.
Outlook distribution and revisions
The outlook distribution reflects positive developments in the ports sector. Of our rated portfolio, 79% remains stable, 16% (three credits) has a positive outlook, and 5% (one credit) has a negative outlook. We revised the outlook for Mersin International Port to positive in line with the outlook revision to positive for the sovereign Turkiye. Terminales Portuarios Euroandinos Paita S.A. (BB+/Positive) holds a positive outlook as high agricultural exports drive strong operating and financial performance, despite exposure to the negative effects of the climate event La Nina through the first half of 2024.
The positive outlook on Port of Newcastle Investments in April 2024 reflects our expectation for metrics to improve over the next two years as the company implements higher wharfage charges and maintains dividend restraint.
The outlook on Adani Ports and Special Economic Zone Ltd. (BBB-/Positive) was revised to positive in June 2024 reflecting our view that its strong competitive position and diversification will support healthy cash flows. This follows our earlier outlook revision to stable in January 2024 reflecting the port's strong business fundamentals and robust cash flows, and our expectation it will not undertake significant related-party transactions outside the normal course of business. We had previously revised the outlook to negative in February 2023 to reflect the risk of a deterioration in the credit profile of Adani Ports due to governance risks and funding challenges for the larger Adani Group.
Meanwhile, the outlook revision to negative was on Autoridad del Canal de Panama (ACP; A-/Negative), reflecting the negative outlook on Panama. We affirm that ACP is rated the maximum number of notches above the sovereign foreign currency rating.
Profitability
Chart 2
Profitability has performed well across much of the portfolio since 2022, with steady revenues driving healthy profitability metrics, which support the investment-grade profile of our transportation infrastructure credits. Roads stand out as the most profitable of all transportation asset types, with a median CFADS margin of 68% and median EBITDA margin of 69% in 2023 (note that we use CFADS margin and EBITDA margin as profitability indicators for project finance and corporates, respectively). This is a trend we have seen in the past and continue to expect, considering the relatively low capital requirements to continue operations of toll roads and generally inflation-linked tariff mechanisms, coupled with the essential service provided. Healthy profitability has support from rebounded traffic volumes alongside the successful pass-through of inflationary costs to toll road users through higher tariffs. Additionally, for projects, a large portion have availability-based payment mechanisms, which helps bolster CFADS in the sector. We see projects continue to successfully fulfill their operational requirements, keeping deductions low. For our corporate roads issuers, healthy profitability has supported leverage below that of the portfolio as a whole (4.0x median debt to EBITDA for roads compared to 4.7x portfolio median).
Conversely, railways and mass transit continue to demonstrate weaker profitability compared to roads. This is largely due to the high costs associated with operating rail assets relative to the amount of revenue, large staffing costs, and affordability considerations built into fare regulation. Accordingly, median debt to EBITDA for rail issuers of 5.1x comes in above the 4.7x portfolio median.
Profitability metrics for airports came in between roads and railroads, reflecting the complexity and costs of operations, which are much greater than that of roads but still less burdensome than railways. Airports currently maintain the highest leverage, with a median debt to EBITDA for airport issuers of 6.0x (compared to the portfolio median of 4.7x), which we believe stems from the lingering effects of the COVID-19 pandemic, given the sector was the hardest hit by travel restrictions. However, recent healthy profitability for airports, with a median CFADS margin of 56% and median EBITDA margin of 44%, has supported deleveraging. We see this clearly in the large 22% of the portfolio having been upgraded since the start of 2023.
Meanwhile, the pandemic least affected ports given their much lower reliance on passenger volumes, and EBITDA margins above 60% fare well. Accordingly, the sector performs the best on leverage, with a median debt to EBITDA of 2.8x for ports issuers compared to the portfolio median of 4.7x.
S&P Global Ratings' Portfolio Of Transportation Infrastructure Ratings
Table 1
| S&P Global Ratings' portfolio of project finance transportation transactions: Roads | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | OPBA | Most recent forecast minimum DSCR (x) | ||||||||
|
407 East Development Group G.P. |
North America | A-/Stable | 2019 | The project was selected for an extension of Toronto-based Highway 407 under a design, build, finance, operate, and maintain mandate with the Ontario Infrastructure and Lands Corp. (IO; representing the Province of Ontario as off-taker). The project achieved substantial completion in June 2016. The project mainly consists of a 20.3-km, four- to six-lane divided expressway (the main line) and a 10-km, four-lane divided expressway connecting the main line to Highway 401, and a 5-km realignment of Highway 401. The major structures include 11 interchanges, 31 water crossings, and 16 road crossings. | 1 | 1.20 | ||||||||
|
407 International Inc. |
North America | A/Stable | 2001 | Toronto-based 407 International Inc. owns 100% of 407 ETR Concession Co. Ltd., which holds a 99-year lease to operate and maintain Highway 407. The highway is the world's first all-electronic, open-access, long toll highway, running 108 km just north and west of Toronto through some of the city's more congested areas. The highway consists of six-, eight-, and 10-lane sections (expandable to eight and 10 lanes in certain sections). The highway system provides congestion relief to the Greater Toronto Area (GTA) road network, attracting motorists willing to pay a toll away from busy toll-free alternate routes. | 3 | 1.97 | ||||||||
|
95 Express Lanes LLC |
North America | BBB/Stable | 2014 | 95 Express Lanes operates and maintains about 40 miles of reversible managed lanes in the median of portions of I-95's general-purpose lanes in northern Virginia. It serves Washington, D.C., and its suburbs under a 73-year concession with the Virginia Department of Transportation. It opened to traffic in December 2014 and is 50% owned by Transurban Group, 25% by AustralianSuper, 15% by Canada Pension Plan Investment Board, and 10% by UniSuper. Before the COVID-19 pandemic, the project outperformed our base-case financial forecast for toll revenue. The I-395 reversible managed lanes opened in fall 2019, which extended the I-95 express lanes for 8 miles. | 7 | 2.11 | ||||||||
|
Aberdeen Roads (Finance) PLC |
EMEA | A/Stable | 2019 | Aberdeen Roads (Finance) PLC on-lent the proceeds of the £544 million senior debt issuance to Aberdeen Roads Ltd. (ProjectCo). ProjectCo used the proceeds to finance the construction, operation, and maintenance of the Aberdeen Western Peripheral Route/Balmedie to Tipperty (AWPR/B-T) in northern Scotland. The road opened fully to traffic in February 2019 and provides an alternative route from north to south Aberdeen. The AWPR/B-T comprises approximately 55 km of new dual carriageway and a small new section added to the existing A90 north of Aberdeen. ProjectCo operates under an availability-based project agreement with Aberdeen City Council. The concession has a duration of about 33 years and expires in 2047. | 1 | 1.26 | ||||||||
|
Amey Roads NI Financial PLC |
EMEA | BBB-/Stable | 2007 | U.K.-based special purpose entity Amey Roads NI Financial PLC issued £141.06 million of index-linked secured bonds, due in 2037, and raised £121.06 million of index-linked loan facilities from the European Investment Bank, due in 2035. The issuer on-lent the funds to Amey Roads NI Ltd., which used the proceeds to finance the design, construction, and operation of four complementary highway improvement schemes to the west of Belfast, Northern Ireland. The schemes comprised the construction of about 38 km of new roads together with the operation and maintenance of approximately 87 km of existing roads. | 2 | 1.14 | ||||||||
|
APP Coatzacoalcos Villahermosa S.A.P.I de C.V. |
Latin America | mxBBB+/Positive | 2017 | APP operates 134 km of the Coatzacoalcos-Villahermosa section in the Federal Highway, located in the states of Veracruz and Tabasco in Mexico. The project has a 10-year PPP contract by the Transportation Ministry and receives monthly availability payments until 2027. | 2 | 1.30 | ||||||||
|
Autopista del Sol Concesionaria Espanola S.A. |
EMEA | BBB+/Stable | 1999, 2002 | Autopista del Sol Concesionaria Espanola S.A. (AUSOL), a limited-purpose entity, issued a €467 million fixed-rate senior secured bond and €40 million in senior secured notes, both due Dec. 30, 2045. AUSOL used the proceeds to refinance the debt incurred for the construction, operation, and maintenance of a 96- km section of tolled motorway southern Spain in the region of Andalucia. Part of the toll road has been operational since 1999 (75-km section known as AUSOL I) and part since 2002 (21-km section known as AUSOL II). AUSOL services its debt via the toll charged to users of the road. | 5 | 1.78 | ||||||||
|
Autopistas Metropolitanas de Puerto Rico LLC |
North America | BBB/Positive | 1972 | Autopistas Metropolitanas consists of the 52-mile PR-22 and two-mile PR-5 toll highways, a network of flat roads, 127 simple bridges, and seven toll plazas serving the largely urbanized northeastern and northwestern regions of Puerto Rico near its capital. PR-22 and PR-5 began operating in 1972, and the project was awarded a long-term PPP concession in 2011. Passenger cars make up 96% of traffic. It operates under a 50-year term concession agreement granted by the Puerto Rico Highway and Transportation Authority. It is allowed to increase toll rates annually up to the maximum allowed under the concession terms. | 5 | 1.73 | ||||||||
|
Autovia de la Mancha S.A. |
EMEA | BBB-/Stable* | 2005 | Spain-based AuMancha issued a €110 million senior secured amortizing loan due July 31, 2031--of which €94.9 million remains outstanding--to finance the design, construction, and operation of a 52-km shadow toll road in Spain. AuMancha operates under a 30-year concession signed with the granting authority, the government of Castile-La-Mancha (CLM), through April 2033. Construction of the road was completed in July 2005, and the project has been operating smoothly since that date. All revenue received in the project is paid by the granting authority and sole offtaker, the government of CLM, which constitutes an irreplaceable counterparty. | 2 | 1.37 | ||||||||
|
Bridging North America G.P. |
North America | BBB-/Stable | 2018 | The project has a 36-year availability-based concession to construct, operate, and maintain the new Gordie Howe International Bridge between Windsor, Ont., and Detroit, Mich. The project includes a new 2.5-km six-lane cable-stay bridge (once complete, the largest in North America by main span of 853 meters), a port of entry complex on each side, and updates to interchanges in Michigan. Revenue is availability based, paid by the Windsor Detroit Bridge Authority, a Canadian Crown Corp. The equity investors are ACS, Fluor, and Aecon, while construction is expected to take six years and be completed in 2025 by a joint venture between Dragados, Fluor, and Aecon. | 3 | 1.18 | ||||||||
|
Capital City Link G.P. |
North America | A-/Stable | 2016 | Capital City Link G.P. (CCLGP) entered into an agreement with the Province of Alberta (A/Stable/A-1) to design, build, finance, operate, and maintain the northeast section of Anthony Henday Drive, an 80-km highway that provides free-flow travel around the city of Edmonton in Canada. The northeast section of the ring road is bound by Manning Drive on the north and Whitemud Drive on the south. The project bundles approximately 27 km of a new six- and eight-lane divided freeway, nine interchanges, 10 flyovers, and 47 bridge structures. | 2 | 1.25 | ||||||||
|
Chinook Roads Partnership |
North America | A-/Stable | 2010 | Chinook Roads Partnership is an availability-based road project, established to design, build, maintain, operate, and rehabilitate the Southeast Stoney Trail in the City of Calgary, Alberta. The trail consists of a 25-km, six-lane divided freeway, with basic and auxiliary lanes, nine interchanges, three flyovers, and additional pregrading for future interchanges. Chinook commenced in March 2010 and achieved traffic availability in November 2013. It is responsible for carrying out life-cycle services and has subcontracted O&M services to Chinook Highway Operations Inc., which has further subcontracted them to Mainroad Chinook Contracting L.P. | 2 | 1.20 | ||||||||
|
Concesionaria Mexiquense S.A. de C.V. |
Latin America | BBB/Stable (global); mxAAA/Stable (national) | 2011 | Concesionaria Mexiquense S.A. de C.V. (CONMEX) spans 155 km of roads, is located in Mexico, and has the concession until 2063. | 5 | 2.20 | ||||||||
|
Connect Plus (M25) Issuer PLC |
EMEA | A-/Stable | 2018 | In July 2018, Connect Plus (M25) issued £892.6 million of senior secured fixed-rate bonds due March 31, 2039. It on-lent the proceeds to the limited-purpose entity Connect Plus (M25) Ltd. (CP), primarily to refinance commercial loan facilities and to unwind interest rate hedges. CP was incorporated to design, finance, and implement significant improvement works on the M25 motorway, the main ring road around London, extending for more than 400 km. It operates the network under an availability-based private finance initiative (PFI) concession that was awarded in 2009 and expires in September 2039. | 3 | 1.49 | ||||||||
|
CountyRoute (A130) PLC |
EMEA | B+/Positive | 2018 | Special-purpose vehicle CountyRoute used the proceeds of the senior and junior debt it issued in 2004 to refinance debt taken to design, build, finance, and operate the 15-kilometer A130 bypass that runs from Chelmsford to Basildon in southeast England under a 30-year concession agreement with Essex County Council. Construction completed in 2003. O&M services are carried out by Ringway Infrastructure Services under a back-to-back O&M services agreement. CountyRoute's revenue is shadow toll-based, with about 55% derived from traffic volume-linked payments, and the remaining 45% from availability payments. | 3 | Below 1 | ||||||||
|
DirectRoute (Limerick) Finance DAC |
EMEA | BB-/Stable* | 2010 | Ireland-based limited-purpose entity DirectRoute (Limerick) Finance DAC on-lent the proceeds of its €244.3 million senior secured debt issuance to DirectRoute (Limerick) Ltd. (ProjectCo) to finance the design and construction of the Limerick tunnel and road project in Ireland. ProjectCo is responsible for O&M of the tunnel under a 35-year PPP agreement through to 2041, signed with the Irish government's executive agency, Transport Infrastructure Ireland (TII). The original concession counterparty, the National Roads Authority, merged with the Railway Procurement Agency to form TII in August 2015. | 5 | Below 1 | ||||||||
|
Elizabeth River Crossings Opco LLC |
North America | BBB/Positive | 2012, 2017 | ERC operates and maintains the Elizabeth River Tunnels Project under a 58-year concession agreement with the Virginia Department of Transportation, expiring in 2070. ERC took over operation of the Downtown and Midtown tunnels in July 2012 and completed rehabilitations in August 2016 and September 2017, respectively. It also built a second, parallel, two-lane Midtown Tunnel, which doubled its capacity, and extended the MLK Freeway portion. ERC completed both in 2016. Tolling on the existing tunnels began on Feb. 1, 2014, while tolling on the new Midtown Tunnel began upon its substantial completion in late August 2016. Tolling on the MLK Freeway was eliminated. | 6 | 1.70 | ||||||||
|
ENA Master Trust |
Latin America | BBB/Negative | 2015 | ENA Master Trust has 30 km of roads, operates in southern and northern Panama City, and has concessions until 2045 and 2048 (ENA Sur and ENA Este, respectively). | 8 | 2.50 | ||||||||
|
ENA Norte Trust |
Latin America | CCC+/Stable | 2012 | ENA Norte Trust has 38 km of roads, operates in the northern part of Panama City, and has concessions until 2029 or the date the rated notes will be fully paid, which our base-case scenario assumes will occur in January 2028. | 6 | 4.09 | ||||||||
|
Fideicomiso 1784 (Autopista Rio Verde y Libramiento La Piedad) |
Latin America | mxAA/Stable (availability tranche) | 2013 | The project operates the Rio Verde Road with an extension of 113 km and and La Piedad Bypass with 21.3 km. Both roads are in Mexico and have concessions until 2027 and 2054, respectively. | 3 | 1.40 | ||||||||
|
Fideicomiso 1784 (Autopista Rio Verde y Libramiento La Piedad) |
Latin America | mxAAA/Stable (volume tranche) | 2013 | The project operates the Rio Verde Road with an extension of 113 kms and and La Piedad Bypass with 21.3 kms. Both roads are located in Mexico and have concessions until 2027 and 2054, respectively. | 6 | 2.2 | ||||||||
|
Libramiento de Matehuala |
Latin America | mxAAA/Stable | 2004 | The Matehuala bypass has 14.2 km of roads, operates in the state of San Luis Potosí, Mexico, and has the concession until 2033. | 5 | 3.40 | ||||||||
|
Fideicomiso Autopista Monterrey-Cadereyta No. 3378 |
Latin America | mxAAA/Stable | 1988 | The project has an extension of 30 km of roads, connects the cities of Monterrey and Cadereyta, in the state of Nuevo León, Mexico, and has the concession until 2054. | 6 | 1.50 | ||||||||
|
Fideicomiso CIB/2076 (Autopista Rio Verde y Libramiento La Piedad) |
Latin America | mxAA-/Stable | 2013 | The project operates the Rio Verde Road with an extension of 113 km and and La Piedad Bypass with 21.3 km. Both roads are in Mexico and have concessions until 2027 and 2054, respectively. (Subordinated of 1784 A1-A2) | 6 | 1.30 | ||||||||
|
Highway Management (City) Finance PLC |
EMEA | BBB/Stable* | 2010 | U.K.-based special purpose entity, Highway Management (City) Finance PLC, issued £61.7 million index-linked senior secured bonds due Feb. 27, 2036, and raised a £61.4 million index-linked European Investment Bank loan due Feb. 28, 2034. It on-lent the funds to Highway Management (City) Ltd. (ProjectCo), a limited-purpose entity, which used the proceeds to finance the design, construction, and operation of four complementary highway improvement schemes for the Ml (Westlink) motorway in Belfast, Northern Ireland. ProjectCo operates under a 30-year availability-based project agreement with the Department for Infrastructure that expires in 2036. | 2 | 1.16 | ||||||||
|
ITR Concession Co. LLC |
North America | BBB/Stable | 2015 | ITR operates and maintains the Indiana Toll Road under a 75-year (61 years remaining) concession and lease agreement with the Indiana Finance Authority. The road is a 157-mile toll road with 20 toll plazas and eight travel plazas. The project self-performs all maintenance and relies solely on toll revenues to service debt and pay maintenance costs. In May 2015, IFM Global Infrastructure Fund acquired the toll road, which had filed for Chapter 11 bankruptcy protection in September 2014. Subsequently, IFM sold a 15% equity interest in the project CalPERS (10%), Allstate (about 2%), and CBUS Super (about 3%). | 3 | 1.30 | ||||||||
|
Kiewit Meridiam Partners LLC |
North America | A/Stable | N/A | Kiewit Meridiam Partners LLC was established to redesign and expand a 10-mile section of Interstate-70, a highway running through central Denver, and operate and maintain it under a PPP. KMP is 60% owned by Meridiam and 40% owned by Kiewit. The concession grantors are the Colorado Bridge and Tunnel Enterprise and Colorado High-Performance Transportation Enterprise. Each one is a government-owned business within the Colorado Department of Transportation. | 2 | 1.20 | ||||||||
|
Libramiento Plan del Rio |
Latin America | mxBBB+/Stable (subordinate) | 2004 | The project has 12.97 km of roads, is in the center of the state of Veracruz, Mexico, and has the concession until 2063. | 5 | 1.20 | ||||||||
|
Millennium Parking Garages LLC |
North America | BBB/Stable | 2016 | Millennium Parking Garages LLC operates and collects revenues for the largest underground downtown parking system in the U.S., which is in Chicago. The 99-year concession and lease agreement have 86 years remaining. The garages consist of four underground facilities in the East Loop area downtown. The total capacity is 9,176 spaces, and the total size is 3.82 million sq. ft. The project is subject to full parking volume and revenue exposure. Parking revenues consist of monthly parking permits and transient parking. | 5 | 1.66 | ||||||||
|
Northwestconnect G.P. |
North America | BBB/Stable | 2011 | NWC entered into a project agreement with Alberta Transportation to design, build, maintain, and operate the northwest section of Anthony Henday Drive, an 80-km highway that provides free-flow travel around the city of Edmonton, Canada. It includes 21 km of mainline freeway with three lanes each direction from Yellowhead Trail to Campbell Road and two lanes each way from Campbell Road to Manning Drive, eight interchanges, five flyovers, and two rail crossings, for a total of 27 bridge structures. NWC opened to traffic in November 2011, beginning its 30-year operating period. | 2 | 1.10 | ||||||||
|
Nouvelle Autoroute 30 S.E.N.C. |
North America | BBB+/Stable | 2012 | Nouvelle Autoroute 30 S.E.N.C. (A30 Express) operates and maintains 42 km of greenfield development (including the 2.0-km tolled Serge Marcil bridge) completed in 2012 to relieve congestion and improve access, and another 32 km of highway on Montreal's south shore under a 34-year concession agreement (23.5 years remaining) with the Transports Québec through the end of 2042. The A30 Express is a four-lane divided highway that provides an east-west route parallel to southern Montreal Island and a north-south tolled link crossing the St. Lawrence River between the Beauharnois-Salaberry and Vaudreuil-Soulanges municipalities. | 4 | 1.14 | ||||||||
|
NYNJ Link Borrower LLC; NYNJ Link Developer LLC |
North America | A-/Stable | 2018 | NYNJ Link Borrower LLC and NYNJ Link Developer LLC are subsidiaries of NYNJ Link Inc., the project company for the Goethals Bridge replacement project. The owners of the project are Macquarie Infrastructure Real Assets (90%) and Kiewit Development Co. (10%). The concession was granted with the Port Authority of New York and New Jersey to design, build, finance, maintain, and operate the replacement bridge for a term of about 40 years (including a five-year construction period completed in 2018). The project involves construction of two bridges, construction of new approach structures, realignment of the existing structures, and demolition of the existing bridge. Operating revenues are availability based. | 3 | 1.21 | ||||||||
|
Organizacion de Proyectos de Infraestructura S.A.P.I. de C.V. |
Latin America | mxAA/Stable | 2011 | Organización de Proyectos de Infraestructura S.A.P.I de C.V., through its subsidiary Concesionaria Mexiquense S.A. de C.V., has 155 km of roads, is in Mexico, and has the concession until 2063. | 5 | 1.25 | ||||||||
|
Ostregion Investmentgesellschaft Nr. 1 S.A. |
EMEA | B+/Stable | 2010 | Ostregion Investmentgesellschaft Nr. 1 S.A., an Austria-based special-purpose vehicle, issued €775 million of senior secured bonds and loans to design and build a 52-km stretch of motorway north of Vienna under a 33-year PPP concession with the Austrian Roads Agency, Autobahnen-und Schnellstrassen-Finanzierungs-AG (ASFINAG) expiring in 2039. Ostregion on-lent the proceeds to Bonaventura Infrastruktur Gmbh (Bonaventura), the project concessionaire. Since the construction works were completed in January 2010, the latter operates and maintains the road. O&M have been subcontracted to Bonaventura Services GmbH. Bonaventura is compensated by ASFINAG in the form of availability and shadow tolls payments. | 2 | Below 1 | ||||||||
|
Periferico del Area Metropolitana de Monterrey |
Latin America | mxAAA/Stable (senior secured) | 2000 | The project has 69.5 km of roads, is in the state of Nuevo Leon, Mexico, and has the concession until 2064. | 5 | 5.40 | ||||||||
|
Periferico del Area Metropolitana de Monterrey |
Latin America | mxAA+/Stable (subordinated) | 2000 | The project has 69.5 km of roads, is in the state of Nuevo Leon, Mexico, and has the concession until 2064. | 5 | 2.0 | ||||||||
|
Plenary Walsh Keystone Partners LLC |
North America | BBB/Stable | 2015 | Plenary Walsh Keystone Partners LLC has a public-private transportation partnership agreement with the Pennsylvania Department of Transportation (PennDOT) to develop, design, construct, and maintain 558 geographically dispersed, structurally deficient bridges across the Commonwealth of Pennsylvania. Construction is now complete, and the project is now responsible for bridge maintenance under a 25-year availability concession with PennDOT to 2043. The project is 80% owned by Plenary Group and 20% by an investment entity owned by members of the Walsh family. | 1 | 1.12 | ||||||||
|
Red de Carreteras de Occidente S.A.B. de C.V. |
Latin America | BBB/Stable (global); mxAAA/Stable (national) | 2012 | Red de Carreteras de Occidente S.A.B. de C.V. has 617 km of roads, operates in the Bajio zone in Mexico and has the concession until 2048. We analyze it under Abertis group. | 4 | 1.30 | ||||||||
|
Rutas de Lima S.A.C. |
Latin America | CCC+/Negative | 2013 | Rutas de Lima S.A.C. has 115 km of roads, operates in Lima, and has concessions until 2039. We analyze it under Brookfield group. | 6 | 0.30 | ||||||||
|
Scot Roads Partnership Finance Ltd. |
EMEA | A/Stable | 2017 | U.K.-based special-purpose entity, Scot Roads Partnership Finance Ltd., lent the proceeds of the bond issuance and the European Investment Bank loan to Scot Roads Partnership Project Ltd. (ProjectCo). ProjectCo used the proceeds to finance the design, construction, and operation of roads forming part of the M8, M73, and M74 motorway network in central Scotland. ProjectCo operates under a 33-year availability-based concession with Scottish Ministers that expires in March 2047. ProjectCo is required to carry out the day-to-day O&M and major maintenance of the assets, which passes down to Amey LG Ltd. under a back-to-back O&M contract. The roads opened fully to traffic in June 2017. | 1 | 1.20 | ||||||||
|
Sociedad Concesionaria Autopista Central S.A. |
Latin America | A/Negative | 2004 | Sociedad Concesionaria Autopista Central S.A. has 62.3 km of roads, operates in the central region of Santiago, and has concessions until 2032. | 4 | 1.74 | ||||||||
|
Sociedad Concesionaria Autovia de la Plata S.A. |
EMEA | A/Stable | 2012 | Spain-based Sociedad Concesionaria Autovía de la Plata S.A. (AutPlata) financed the construction, operation, and maintenance of a 49-km section of the A-66 motorway between Benavente and Zamora, in the northwest of Spain. On Dec. 14, 2012, AutPlata entered into an availability-based concession with the awarding authority, the Spanish Ministry of Public Works, for a 30-year term expiring on 2042. The construction of the road started in July 2013 and was completed in May 2015. | 1 | 1.46 | ||||||||
|
Sociedad Concesionaria Costanera Norte S.A. |
Latin America | A/Negative | 2003 | Sociedad Concesionaria Costanera Norte S.A. has 43.9 km of roads, operates in northern Santiago, and has concessions until 2033. | 4 | 2.82 | ||||||||
|
Sociedad Concesionaria Vial Montes de María S.A.S. |
Latin America | AA/Stable | 2021 | It operates the Puerta de Hierro-Palmar de Varela toll road with 197 km of length in Colombia, and the concession runs until 2045. The project benefits from guarantee from U.S. Development Finance Corp. | 3 | 1.20 | ||||||||
|
Toll Road Investors Partnership II L.P. |
North America | BB/Negative | 1995 | Virginia-based TRIP II owns and operates a 14-mile limited-access toll road (Dulles Greenway) under a Certificate of Authority issued by the Virginia State Corp. Commission and a comprehensive agreement with the Virginia Department of Transportation. Dulles Greenway connects Washington Dulles International Airport (at the terminus of the Dulles Toll Road) with Leesburg, Va. The road opened for operations in September 1995 and is 100% volume exposed. | 3 | 0.67 | ||||||||
|
Transjamaican Highway Ltd. |
Latin America | BB-/Stable | 2020 | TJH has 50 lm of road, is in Kingston, Jamaica, and has the concession until 2036. | 6 | 2.60 | ||||||||
|
Verdun Participation 2 S.A. |
EMEA | BBB-/Stable* | 2004 | VP2 is the 100% owner of Compagnie Eiffage du Viaduc de Millau, which holds the concession for the Millau viaduct in Southern France until 2079. The asset is a 2.5-km long, seven-span, cable-stayed road bridge. It is the tallest bridge in the world, with one mast's summit at 343.0 meters above the base of the structure. The viaduct has been open since 2004. Project revenues are volume-based. VP2's ultimate shareholder is French construction and concession group Eiffage S.A. with a 51% stake, and French government-related financial institution Caisse des Dépôts et Consignations with a 49% stake. | 4 | 1.23 | ||||||||
|
Via Pribina a.s. |
EMEA | BBB+/Stable | 2013 | In 2013, special-purpose entity Via Pribina a.s. (ProjectCo) issued €1,242.7 million of fixed-rate senior secured bonds, due September 2039. The debt proceeds refinanced the senior secured loan incurred by ProjectCo in relation to its 30-year concession with the Ministry of Transport, Construction, and Regional Development of Slovakia, to design, build, operate, and manage 51.6 km of the R1 Expressway in Slovakia. Under the concession, ProjectCo receives availability-based revenue. The project consists of 84 bridge structures with a total length of approximately 6.8 km, 10 interchanges, approximately 33 km of noise barriers, two O&M centers, and two service areas. | 2 | 1.16 | ||||||||
|
Westconnex Finance Company Pty Ltd. |
APAC | BBB+/Stable | 2021 | WCX is a tolled Sydney metropolitan motorway comprising six roads under three separate concessions that are physically joined. The six roads are New M4, M5 East, M8, M4-M5 Link, Rozelle interchange, and M5 South West (M5 South West is currently 100% owned by Transurban Group and will transfer to WCX once the current concession expires in December 2026). All concessions expire at the same time in December 2060.WCX operates as a closed tolling road network. Tolls are based on the distance travelled and a maximum toll trip cap will apply for vehicles using multiple sections of the road network. | 3 | 1.6 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data. Some entities’ most recent available data may reflect fiscal 2022. *S&P Global underlying rating. dPBA--Operations phase business assessment. DSCR--Debt service coverage ratio. km--Kilometer. O&M--Operations and maintenance. PPP-Public-private partnership. sq. ft.--Square feet. JV--Joint venture. N/A--Not applicable. | ||||||||||||||
Table 2
| S&P Global Ratings’ portfolio of corporate transportation credits: Roads | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | Business risk | Debt to EBITDA (x) | ||||||||
|
AB Concessoes S.A. |
Latin America | brAA+/Stable | 2013 | AB Concessões has 1,120.6 km of road, operates in two states (São Paulo and Minas Gerais), and has concessions until 2032. | Fair | 0.9 | ||||||||
|
Abertis Infraestructuras S.A. |
EMEA | BBB-/Stable | 2004 | Abertis is a Spain-based holding company operating more than 9,000 km of toll road network across 16 countries in Europe, the Americas, and Asia. Abertis is the No. 1 toll road operator in Spain, and the No. 3 in France, through its fully owned subsidiaries HIT and Sanef. In Latin America, Abertis has operations in Brazil, Chile, Mexico, Puerto Rico, and Argentina. The company is part of Italian global infrastructure group Mundys (previously Atlantia), which owns 50%, while the remaining stakes are owned by ACS (30%) and its subsidiary Hochtief (20%). | Strong | 6.9 | ||||||||
|
APRR S.A. |
EMEA | A-/Stable | 2017 | APRR is the second-largest rated toll road operator in France, after Autoroutes du Sud de la France S.A, and the fourth largest in Europe. The company's network includes 2,318 km of toll roads, under concessions to APRR and its subsidiary AREA. APRR--covering 1,890 km--expires in 2035, while the 428 km AREA concession expires in 2036. | Excellent | 3.9 | ||||||||
|
Arteris S.A. |
Latin America | brAAA/Stable | 2014 | Arteris has 3,200 km of road, operates in five states, and has concessions until 2047. The group is one of the largest in terms of number of kilometers managed in Brazil. | Satisfactory | 4 | ||||||||
|
Autoban - Concessionaria do Sistema Anhanguera Bandeirantes S.A. |
Latin America | brAAA/Stable | 2008 | AutoBan has 319.84 km of road, operates in São Paulo state, and has its concession until 2037. The company is a subsidiary of CCR. | No SACP/Rating through GRM | 0.8 | ||||||||
|
Autopista Fernao Dias S.A. |
Latin America | brAAA/Stable | 2014 | Autopista Fernão Dias has 562.1 km of road, operates in São Paulo and Minas Gerais states, and has its concession until 2033. The company is a subsidiary of Arteris. | No SACP/Rating through GRM | 3 | ||||||||
|
Autopista Litoral Sul S.A. |
Latin America | brAAA/Stable | 2014 | Autopista Litoral Sul has 405.9 km of road, operates in Paraná and Santa Catarina states, and has its concession until 2033. The company is a subsidiary of Arteris. | Satisfactory | 8.4 | ||||||||
|
Autopista Planalto Sul S.A. |
Latin America | brAAA/Stable | 2014 | Autopista Planalto Sul has 412.7 km of road, operates in Paraná and Santa Catarina states, and has the concession until 2033. The company is a subsidiary of Arteris. | No SACP/Rating through GRM | 3.8 | ||||||||
|
Autopista Regis Bittencourt S.A. |
Latin America | brAAA/Stable | 2014 | Régis Bittencourt has 402.6 km of road, operates in Paraná and São Paulo states, and has its concession until 2033. The company is a subsidiary of Arteris. | Satisfactory | 4.8 | ||||||||
|
Autoroutes du Sud de la France S.A. |
EMEA | A-/Stable | 2002 | ASF is the largest operator of toll roads in France, as measured by road area in kilometers, in operation. It is also the second-largest toll road operator in Europe, behind Italy's Autostrade per l'Italia SpA, and No. 3 worldwide. The company operates a network of 3,200 km of toll roads under two concession contracts. The main ASF contract, covering 2,730 km, expires in April 2036, while the 471 km Escota contract expires in February 2032. Together, these correspond to roughly one-third of the French toll roads. | Excellent | 2 | ||||||||
|
Autostrade per l'Italia SpA |
EMEA | BBB-/Stable | 2008 | ASPI is headquartered in Rome and operates one of the largest toll road networks in Europe (2,855 km, representing about 50% of the total Italian network), under a concession that will last until December 2038. In addition to operating this concession, the company owns stakes in several other smaller Italian motorway concessionaires and provides engineering, research and designing, and administrative services. | Satisfactory | 3.5 | ||||||||
|
CCR S.A. |
Latin America | brAAA/Stable | 2005 | CCR operates highways, mass transportation assets in three states, and airports in Brazil and Latin America. In terms of highways, the group has 3,615 kilometers of roads, operates in five states of Brazil, and has concessions until 2052. | Satisfactory | 3.3 | ||||||||
|
Cofiroute |
EMEA | A-/Stable | 1996 | Cofiroute is the fifth-largest rated toll road network operator in Europe. The company operates a network of 1,111 km of toll roads under two concession contracts. The main intercity network contract--covering 1,100 km--expires in 2034, while the 11-km Duplex A86 contract expires in 2086. | Excellent | 2.6 | ||||||||
|
Concessionaria Auto Raposo Tavares S.A. |
Latin America | brAA+/Stable | 2012 | Cart has 834 km of roads, operates in São Paulo state, and has its concession until 2039. | Fair | 3.55 | ||||||||
|
Concessionaria da Rodovia MG-050 S.A. |
Latin America | brAA/Stable | 2021 | Rodovia Nascentes das Gerais has 371.4 km of road, operates in Minas Gerais state, and has the concession until 2032. The company is a subsidiary of AB Concessões. | No SACP/Rating through GRM | 4.7 | ||||||||
|
Concessionária das Rodovias Ayrton Senna e Carvalho Pinto S.A. |
Latin America | brAAA/Stable | March 2023 | Ecopistas has 143.7 kilometers of roads, operates In São Paulo state, and has Its concession until 2039. The company is a subsidiary of Ecorodovias. | Satisfactory | 2.4 | ||||||||
|
Concessionaria de Rodovias do Interior Paulista S.A. |
Latin America | brAAA/Stable | May 2024 | Intervias concession has 380.3 km of roads in the Center-Norte of Sao Paulo until 2039. The company is a subsidiary of Arteris. | Satisfactory | 4 | ||||||||
|
Concessionaria Ecovias dos Imigrantes S.A. |
Latin America | brAAA/Stable | 2011 | Ecovias has 177 km of roads, operates in São Paulo state, and has its concession until 2034. The company is a subsidiary of Ecorodovias. | No SACP/Rating through GRM | 1.9 | ||||||||
|
DARS d.d. |
EMEA | A+/Stable | 2019 | DARS d.d., a publicly owned company, is the sole operator of the motorway network in Slovenia. Established in 1993 and operating since Jan. 1, 1994, DARS has 623.3 km of motorways and expressways in operation and under maintenance and is of prime importance to the Slovenian economy. DARS is responsible for operating, constructing, and maintaining Slovenia's motorway network. The company fulfills these tasks under a concession contract with the government due 2060. Under the concession, DARS is entitled to the revenues generated from the motorway network, mainly the tolls it collects. | Strong | 3.5 | ||||||||
|
Ecorodovias Concessoes e Servicos S.A. |
Latin America | brAAA/Stable | 2010 | Ecorodovias has 4.700 km of roads, operates in eight states of Brazil, and has concessions until 2056. | Satisfactory | 3.9 | ||||||||
|
Gansu Provincial Highway Aviation Tourism Investment Group Co. Ltd. |
APAC | BBB+/Negative | 2016 | GHATG is the provincial toll road development and operating platform in northwest China. As of March 2023, the company had 5,444 km of toll roads in operation and 1,197 km of toll roads under construction. 90% of the operating milage is funded under government toll roads, and 84% of the operating milage belongs to the national-level expressway network. Toll-road segment contributes 55% of GHATG's gross profit. GHATG also has a sizable E&C segment, with projects primarily within the province. The E&C segment contributes about 20% of gross profit. The company is wholly owned by the Gansu provincial government. | Satisfactory | 35.5 | ||||||||
|
Getlink SE |
EMEA | BB/Stable | 2018 | Getlink SE is the ultimate parent of France Manche S.A. and Channel Tunnel Group Ltd., which operate the undersea tunnel between the U.K. and France, Eurotunnel, under a 100-year concession. Eurotunnel is a ring-fenced group within Getlink and generated 67% of EBITDA (post provision for ElecLink's profit sharing) in 2022. It also owns Europorte SAS, a rail freight operating company, which contributes about 3% of EBITDA. ElecLink, the power interconnector between the U.K. and France, started commercial operations in May 2022 (circa 30% of EBITDA in 2022), diversifying dividend flow to Getlink and alleviating its high leverage. | Strong | 3.6 | ||||||||
|
Guangdong Provincial Communications Group Co. Ltd. |
APAC | A/Stable | 2021 | Guangdong Provincial Communications Group Co. Ltd. is the largest SOE by asset and the only provincial franchise toll road investment platform in Guangdong. As of June 2023, the provincial government had mandated the company to invest in, develop, and operate 6,231 km of franchise toll roads and manage 1,961 km of government toll roads. These toll roads account for about 73% of the toll-road mileage in the province. Franchise toll revenue contributes nearly 90% of the company's gross margin, As of Sept. 30, 2023, Guangdong Communications had total assets of about RMB487 billion and was fully owned by the Guangdong provincial government. | Strong | 8.5 | ||||||||
|
Holding d'Infrastructures de Transport S.A.S. |
EMEA | BBB-/Stable | 2006 | HIT is the holding company of the French toll road operator Sanef, the third-largest toll road operator in France (1,785 km as of Dec. 31, 2022). The sole shareholder of HIT is Abertis Infraestructuras following the progressive buyout of minority stakes in HIT in 2017. Sanef’s main concession covers about 1,406 km of toll roads in the north and east of France and expires in December 2031. Sanef also has a concession to operate 379km of toll roads in the northwest of France through its subsidiary SAPN (99.97% ownership) until August 2033. | Strong | 3.4 | ||||||||
|
Impulsora del Desarrollo y el Empleo en America Latina S.A.B. de C.V.§ |
Latin America | BBB/Stable | 2005 | Impulsora del Desarrollo y el Empleo en América Latina S.A.B. de C.V., through its subsidiaries, engages in the infrastructure sector in Mexico and Latin America. It is involved in the construction, operation, and maintenance of road concessions; operation of wastewater treatment plants and multimodal terminals; parking operations; investment of financial instruments; and provision of electronic toll collection system, as well as leasing of equipment.It was founded in 2005 and is headquartered in Mexico City. | Satisfactory | 3.1 | ||||||||
|
Indigo Group S.A. |
EMEA | BBB/Stable | 2014 | Indigo Group manages more than 1.4 million parking spaces in nine countries worldwide, although France remains the core market contributing to 60% of EBITDA in 2023. The business model focuses on off-street concession-type parking (particularly in France, Spain, and Belgium) that generates strong profitability and it has an average remaining term of 27.1 years (on a stand-alone basis, excluding Parkia). It enters emerging markets via short-term, low-demand-risk contracts that require little investment but also generate low margins. | Strong | 6.1 | ||||||||
|
Korea Expressway Corp. |
APAC | AA/Stable | 2003 | KEC is 99.99% government-owned and is responsible for constructing, maintaining, and operating the expressway network in South Korea. Since its establishment in 1969, KEC has expanded its expressway network in the country. KEC has the exclusive rights to operate and collect tolls on 4,238 km of expressways in Korea, which represented around 83% of total kilometers of expressways in Korea, as of June 2023. The network under the issuer’s supervision comprises of 35 routes in Korea. | Excellent | 13.8 | ||||||||
|
MEIF 5 Arena Holdings SLU |
EMEA | BB-/Positive | 2017 | MEIF 5, owned by Macquarie Infrastructure and Real Estate Assets, is the nonoperating holdco of Empark, a car park operator with about 324,100 spaces on the Iberian Peninsula. It's focused on off-street parking (90% of EBITDA in 2022) through a portfolio of long-term concessions and privately owned carparks, with an average 26.6 years to expiry. It also operates on-street, short-term parking contracts (10% of EBITDA in 2022). | Satisfactory | 7.7 | ||||||||
|
Mundys SpA |
EMEA | BB+/Stable | 2001 | Mundys is the Italy-based holding company of a global infrastructure network. The company holds 50% share of global toll road operator Abertis (about 75% of reported EBITDA in 2023), which operates about 8,000 km of toll roads across 15 countries; 99.4% of Italian airport operator AdR; overseas motorways in Brazil, Chile, and Poland; and Aéroports de la Côte d'Azur Group in France. Mundys also owns 51% of Telepass and 100% of Yunex Traffic. Mundys' minority interests include a 15.5% stake in Getlink, and a 29% stake into Aeroporto di Bologna. The company is owned by Edizione (57%, through Schema Alfa), BIP (37.8%), and Fondazione CRT (5.2%). | Satisfactory | 5.8 | ||||||||
|
Q-Park Holding I B.V. |
EMEA | BB-/Stable | 2020 | Car park infrastructure owner and operator, with a presence across seven Western European countries, with over 3,400 parking facilities and more than 677,000 parking spaces. The company focuses on off-street parking--about 93% of gross margins--under different contract structures including ownership, concession, and long-term leases. Additionally, it manages facilities for fixed and variable fees through on-street management contracts, generating about 7% of gross margin. Owned by KKR Infrastructure (54%) and four other co-investors: Schroders Aida, EDF Invest, PensionDanmark, and the J. Safra Group. | Strong | 8.4 | ||||||||
|
Rodovias das Colinas S.A. |
Latin America | brAA+/Stable | 2013 | Rodovias das Colinas (AB Colinas) has 307 km of road, operates in São Paulo state, and has the concession until 2018. The company is a subsidiary of AB Concessões. | No SACP/Ratings through GRM | 1.7 | ||||||||
|
Shenzhen Expressway Corp. Ltd. |
APAC | BBB/Stable | 2015 | Shenzhen Expressway Corp. Ltd., together with its subsidiaries, primarily invests in, constructs, operates, and manages toll highways and roads, as well as other urban and transport infrastructure in China. The company provides construction management and highways operation management services for government and other enterprises, as well as project development and management, advertising, construction consulting, internetwork toll collection, and financial services; and billboard leasing, advertising agency, and design production and related services. | Satisfactory | 6 | ||||||||
|
Shenzhen International Holdings Ltd. |
APAC | BBB/Stable | 2012 | Shenzhen International Holdings Ltd., an investment holding company, invests in, constructs, and operates logistic infrastructure facilities primarily in China. It operates through two segments: Toll roads and environmental protection business, as well as logistic business. The toll roads and environmental protection business segment develops, operates, and manages toll highways. The company is headquartered in Tsimshatsui East, Hong Kong. | Satisfactory | 5.4 | ||||||||
|
Transurban Finance Co. Pty Ltd. |
APAC | BBB+/Stable | 2002 | Transurban is a developer, owner, operator, and manager of toll roads in Australia, the U.S., and Canada. It is the largest private toll-road operator in Australia with assets in Sydney, Melbourne, and Queensland. Transurban has varying levels of toll-road ownership across its portfolio, including CityLink, M2, Lane Cove Tunnel, Cross City Tunnel, M5 West, Eastern Distributor, Gateway, Logan, Airportlink M7, Clem7, Legacy Way, Go Between Bridge, WestConnex, NorthConnex, M7, 95 Express lanes, 495 Express lanes, and A25. All of Transurban's revenue is currently generated from the Australian assets given that its North American assets are 50% owned and are equity accounted. | Excellent | 5.8 | ||||||||
|
Transurban Queensland Finance Pty Ltd. |
APAC | BBB/Stable | 2014 | TQF is an owner and operator of toll roads in Brisbane, the capital city of Australia's State of Queensland. It is a subsidiary of Transurban Group, which is listed on the Australian Stock Exchange. | Excellent | 8.9 | ||||||||
|
Via Paulista S.A. |
Latin America | brAAA/Stable | 2017 | Via Paulista has 720 km of road, operates in São Paulo state, and has its concession until 2047. The company is a subsidiary of Arteris. | Satisfactory | 4.3 | ||||||||
|
Vinci S.A. |
EMEA | A-/Stable | 2001 | VINCI S.A. is one of largest global infrastructure groups (€68.8 billion revenues and €11.9 billion reported EBITDA in 2023). Together with its subsidiaries, it operates in the concessions, energy, and construction segments. Its concessions segment operates motorway concessions with a network of 4,44 km in France; about 70 airports globally following the acquisition of OMA in Mexico. In the contracting business, the group provides construction and facility management services. | Strong | 1.4 | ||||||||
|
Zhejiang Expressway Co. Ltd. |
APAC | A/Stable | 2021 | ZJE is the primary toll road subsidiary of Zhejiang Communications Investment Group Co., Ltd. (ZJC), with total assets of RMB186 billion as of year-end 2022. The company owns about 900 km of toll roads in Zhejiang province and about 80 km of toll roads outside the province, with estimated toll road EBITDA margin of about 90%. ZJC is its largest shareholder. The second largest shareholder is China Merchant Expressway Network & Technology Holdings Co. Ltd. As of year-end 2022, the provincial government had mandated ZJC to invest in, develop, and operate 3,404 km of toll roads and construct 2,915 km of railways in Zhejiang. As of March 2023, ZJC's total assets were RMB878 billion. | Strong | 1.4 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. *S&P underlying rating. §Entity is a project developer. km--Kilometer. SACP--Stand-alone credit profile. GRM--Group rating methodology . E&C--Engineering and construction. SOE--State-owned enterprise. | ||||||||||||||
Table 3
| S&P Global Ratings’ portfolio of project finance transportation transactions: Railways and mass transit | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | OPBA | Most recent forecast minimum DSCR (x) | ||||||||
|
Brightline East LLC |
North America | B/Stable | 2024 | Brightline East LLC is based in Delaware. | 11 | 0.13 | ||||||||
|
Brightline Trains Florida LLC |
North America | BBB-/Stable | 224 | Brightline Trains Florida LLC owns, operates, and maintains a passenger railway network. The company provides an intercity passenger rail service. The company was formerly known as Virgin Trains USA Florida LLC and changed its name in September 2020. The company was incorporated in 2007 and is based in Miami. It operates as a subsidiary of Virgin Trains USA LLC. | 11 | 1.33 | ||||||||
|
Channel Link Enterprises Finance PLC |
EMEA | BBB/Positive* | 2007 | In 2007, CLEF issued notes as part of the financial restructuring and debt refinancing of Getlink, the ultimate parent of France Manche S.A. and Channel Tunnel Group Ltd. The two concessionaires operate the Channel Tunnel between the U.K. and France, under a concession agreement granted in 1986 and expiring in 2086. CLEF on-lent the proceeds of the issuances to the two concessionaires, which have the right and obligation to design, finance, and construct the Channel Tunnel and operate it until 2086. The Channel Tunnel is 50 km long and comprises two single-track rail tunnels, plus a third service tunnel. It has been in operation since opening to traffic in 1994. | 4 | 1.31 | ||||||||
|
GrandLinq G.P. |
North America | A-/Stable | 2019 | GrandLinq is the first stage of a regional light rail system that will ultimately connect Cambridge and Waterloo, Ont. The project built a 19-km section of light rail with 19 stops from August 2014 to substantial completion in June 2019. The project also includes O&M and storage facility. The concession provider and vehicle provider is the Region of Waterloo. Construction was performed by a consortium of Peter Kiewit Infrastructure Corp and Aecon Construction, while O&M is subcontracted to Keolis. Operations will last 30 years and operational revenues are availability based. | 4 | 1.37 | ||||||||
|
High Speed Rail Finance (1) PLC |
EMEA | BBB+/Positive | 2010 | HSRF1 is a U.K.-based special-purpose entity that issued bonds to partially refinance existing acquisition debt facilities of its sister company High Speed 1 Ltd (HS1). HS1 operates the high-speed rail line connecting St. Pancras International station in London with the Channel Tunnel under a concession with the U.K. Secretary of State, which terminates in 2040. Under the concession, HS1 is responsible for the O&M and renewal of the track and associated infrastructure, along with the four railway stations. The rail line currently serves domestic and international high-speed traffic, plus a small quantity of freight traffic. | 4 | 1.37 | ||||||||
|
Mobilinx Hurontario G.P. |
North America | BBB/Negative | 2019 | Mobilinx is responsible for design, build and operation of the 18-km Hurontario light rail transit project in Mississauga and Brampton, Ont. Construction is performed by a consortium including Salini-Impregilo, Hitachi Rail, Astaldi, Amico and BOT infrastructure, with vehicles supplied by Alstom. It is expected to be complete in 2025. During the subsequent 30-year operating period the project will be responsible for O&M of the system and vehicles. | 4 | 1.27 | ||||||||
|
Plenary Infrastructure ERMF G.P. |
North America | A-/Stable | 2019 | Plenary Infrastructure entered a PPP with Ontario Infrastructure and Lands Corp. to develop, design, construct, finance and maintain the East Rail Maintenance Facility in Whitby, Ont. Revenues are availability based. The maintenance facility consists of more than 500,000 square feet of building space, as well as fuel storage and tracks. Construction ran for four years to March 2019. The project has a 30-year availability-based operations period. It entered a 30-year fixed price facilities maintenance contract with Honeywell Ltd. for maintenance services, and renewal of the facility and plant services. The project retains the track and signal maintenance obligations within the facility buildings. | 2 | 1.13 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. *S&P underlying rating. OPBA--Operations phase business assessment. DSCR--Debt service coverage ratio. km-Kilometer. O&M--Operations and maintenance. PPP-Public-private partnership. | ||||||||||||||
Table 4
| S&P Global Ratings’ portfolio of corporate transportation credits: Railways and mass transit | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/ Earliest rating | Entity summary | Business risk | Debt to EBITDA (x) | ||||||||
|
Arc Infrastructure WA Pty Ltd. |
APAC | BBB/Stable | 2013 | Arc Infrastructure WA Pty Ltd operates rail freight network in Australia. It operates and manages standard-, narrow-, and dual-gauge networks in Western Australia. It provides track access services, maintenance activities, siding connections, train control, and salvage sales services. The company was incorporated in 2006 and is based in Perth, Australia. Arc Infrastructure WA Pty Ltd operates as a subsidiary of Brookfield Infrastructure Partners L.P. | Satisfactory | 4.7 | ||||||||
|
Aurizon Network Pty Ltd. |
APAC | BBB+/Stable | 2013 | Aurizon Network Pty Ltd engages in accessing, operating, and managing the Central Queensland coal rail network in Australia. It also provides design, construction, overhaul, maintenance, and management services to the Aurizon Group and other rail customers. In addition, it engages in the maintenance of private infrastructure, external design and construction, and other services. The company was incorporated in 2008 and is based in Brisbane, Australia. Aurizon Network Pty Ltd operates as a subsidiary of Aurizon Holdings Ltd. | Strong | 4.6 | ||||||||
|
Aurizon Operations Ltd. |
APAC | BBB+/Stable | 2019 | Aurizon Operations Ltd. provides rail freight transportation services. The company was founded in 2007 and is based in Fortitude Valley, Australia. Aurizon Operations Ltd. operates as a subsidiary of Aurizon Holdings Ltd. | Satisfactory | 0.8 | ||||||||
|
Beijing Infrastructure Investment Co. Ltd. |
APAC | A+/Stable | 2014 | BII is the major metro transport investment and operating platform of the Beijing municipal government. In 2023, Beijing's metro rail network reached 807 km, making it one of the longest and busiest in the world. The company also has primary and secondary land development, property development, and toll-road operations, among others. The Beijing municipal government wholly owns BII under its State-Owned Assets Supervision and Administration Commission. | Strong | 471.2 | ||||||||
|
Central Japan Railway Co. |
APAC | A+/Stable | 2015 | JR Central is a private railway company that operates the Tokaido bullet train, which connects Japan's three largest cities of Tokyo, Nagoya, and Osaka. It also operates 12 conventional lines in and around the cities of Nagoya and Shizuoka. It is the second-largest railway operator in Japan, behind East Japan Railway Co. (JR East), in terms of sales. In fiscal 2023, bullet train revenue accounted for about 93% of the total transportation revenue. | Excellent | 2.5 | ||||||||
|
Concessao Metroviaria do Rio de Janeiro S.A. |
Latin America | brAA+/Stable | 2012 | MetroRio has 41 subway stations representing roughly 75 km of extension, operates in Rio de Janeiro, and has its concession until 2038. The company is a subsidiary of Hmobi. | Fair | 4 | ||||||||
|
Deutsche Bahn AG |
EMEA | AA-/Stable | 2000 | Germany's integrated rail provider and the largest regional rail passenger transport company in Europe. In the first half of 2023 30% of EBITDA stemmed from passenger transport services, 23% from infrastructure, and the remainder from the more volatile transport and logistics segment via DB Schenker and DB Cargo (respectively generating around 45% and less than 1%). | Strong | 16.5 | ||||||||
|
East Japan Railway Co. |
APAC | A+/Stable | 1993 | JR East is one of the largest railway operators in the world. It provides rail transportation services in the Kanto (greater Tokyo and surrounding prefectures) and Tohoku (northeastern Japan) regions. Its main businesses are transportation services, including its conventional rail network in greater Tokyo and its bullet train network, which generate about 70% of consolidated EBITDA. | Excellent | 6.7 | ||||||||
|
Empresa de los Ferrocarriles del Estado |
Latin America | A/Negative | 2020 | EFE has 2,308 km of railroads and operates in most of the country’s industrial and commercial area. Chile´s government has full ownership and control of the company. | Fair | N/A | ||||||||
|
Ferrovie dello Stato Italiane |
EMEA | BBB/Stable | 2013 | Ferrovie is the holding company of an Italian integrated rail and road group, fully-owned by the Ministry of Economy and Finance. It manages about 16,800 km of Italian railway infrastructure through subsidiary RFI, while its Trenitalia subsidiary is a national, regional, and passenger transportation group. It also manages a 32,000 km public road network in Italy following the consolidation of ANAS. In 2022, 44% of revenue stemmed from passenger services, 44% infrastructure services, 7% logistics, and 6% urban and other services. | Strong | 5.1 | ||||||||
|
Georgian Railway JSC |
EMEA | BB-/Stable | 2010 | This vertically integrated railroad company is directly owned by the state of Georgia. It is the country’s largest employer (12,000 workers), has a network spanning about 1,443 km, and freight capacity of 27 million tons/year. It operates the shortest route from the Caspian Region to the Black Sea, meaning it serves mainly as a transit corridor. In 2022, 71% of revenue came from freight transport, 18% logistics, 4% passenger transport, and 7% other. | Weak | 8.6 | ||||||||
|
Kazakhstan Temir Zholy |
EMEA | BB/Stable | 2001 | The company is a 100% state-owned monopoly railroad company in Kazakhstan that owns and operates the national railway system and related infrastructure. It enjoys a dominant market position including about half of Kazakhstan’s freight (excluding pipeline transportation) and over 80% of its railway passenger revenue. In 2022 87% of revenue was freight, 6% passenger, 3% state subsidies, and 4% other. | Fair | 14 | ||||||||
|
MTR Corp. Ltd. |
APAC | AA+/Stable | 1988 | MTR Corp. Ltd. (MTRC) is a Hong Kong-based metro operator with nine metro lines, a light rail network, an airport express line, and intercity train services to mainland China. The company also receives profit-sharing for the Hong Kong leg of the high-speed rail linking the city to mainland China. Businesses in Hong Kong include commercial activities at the company's stations, property rental and management, and property development. In addition, MTRC is expanding its railway development and operations outside Hong Kong, including in Beijing, Shenzhen, Hangzhou, and Macau in China, and the U.K., Sweden, and Australia. | Excellent | 3.8 | ||||||||
|
NS Groep N.V. |
EMEA | A/Stable | 1996 | This state-owned operator of the Netherland’s main rail concession includes a main network, HSL South Services, and a 125-km high-speed rail line to the Belgian border. It also operates public transport franchises in Germany through its Abellio subsidiary. | Satisfactory | 3.1 | ||||||||
|
One Rail Australia Holdings Ltd. |
APAC | BB-/Stable | 2022 | OneRail provides coal haulage services primarily to Glencore-managed mines in Hunter Valley in Australia. The company's contract with Glencore is exclusive for most of Glencore's Hunter Valley coal volumes until 2036. This includes take-or-pay obligations, which step down in 2026 and 2030, and end in 2034. OneRail owns and operates the youngest fleet in the Hunter Valley. In February 2020, it started services on a contract to haul coal in Queensland. In February 2023, OneRail was acquired by MIG, a 50-50 joint venture between M Resources Trading Pty Ltd and PT Asian Bulk Logistics. | Fair | 3.5 | ||||||||
|
Pacific National Holdings Pty Ltd. |
APAC | BBB-/Stable | 2010 | PN is one of the largest providers of rail freight haulage services in Australia. The company provides solely above-rail services and does not own or operate rail tracks. Coal haulage represents about 39% of its operating revenue. Of this, 19% stems from metallurgical coal and 20% from thermal coal. The balance comprises intermodal freight (45%) and other services (17%), including bulk, regional, and imports and exports. PN's coal-haulage services are concentrated in the Hunter Valley region in New South Wales, where it has a 39% market share. The company has a smaller 24% share of Queensland's coal market. PN's non-coal, bulk-freight sector operates in multiple regions across Australia. | Satisfactory | 5.1 | ||||||||
|
SMRT Corp. Ltd. |
APAC | AA+/Stable | 2003 | SMRT is a multimodal land transport provider in Singapore. The company operates and maintains the North-South-East-West and Circle lines of the MRT system, and Bukit Panjang Light Rapid Transit system. SMRT also operates the TEL MRT under a contract with Land Transport Authority. The line commenced operations in early 2020. Other core businesses include bus operations, taxis, private hire vehicles, rental, advertising, and engineering services. Temasek Holdings (Private) Ltd., a wholly owned investing arm of Singapore's Ministry of Finance, owns 100% of SMRT. | Satisfactory | 0 | ||||||||
|
Societe Nationale des Chemins de Fer Belges |
EMEA | A/Stable | 1993 | SNCB is a Belgian government-owned railway operator providing predominantly domestic passenger transport services (88% of transport revenue in 2019) and international passenger transportation via minority stakes in subsidiaries. This includes high-speed train operator Thalys/THI FACTORY (connecting Paris, Brussels, Amsterdam, and Cologne), which merged with Eurostar in April 2022, providing the company with an 18.5% stake in Eurostar Group. | Strong | 12 | ||||||||
|
Societe Nationale SNCF |
EMEA | A+/Stable | 1995 | The company is a state-owned holding company of French integrated rail and transportation services provider SNCF Group. It's an incumbent provider of passenger rail services through 100%-owned subsidiary SNCF Voyageurs (34% of total 2022 EBITDA), as well as the monopolistic rail infrastructure and train station manager in France through 100%-owned subsidiary SNCF Réseau (34%, including its subsidiary SNCF Gares & Connexions). It also owns rail freight and logistics operations through Geodis, SNCF Fret and logistics subsidiaries (21%), and mass-transit transportation activities through Keolis (9%). | Strong | 5.3 | ||||||||
|
Taiwan High Speed Rail Corp. |
APAC | twAAA/Stable | 2016 | Incorporated in 1998, THSRC is the concessionaire to build and operate Taiwan's high-speed rail, which will ultimately transfer back to the government. In 2015, the Ministry of Transportation & Communications rolled out a financial resolution program to prevent the company from a potential debt default, extending its concession period to 70 years. THSRC operates solely in Taiwan under a single line structure with a total of 12 stations. In 2022, the company derived 96% of revenue from passenger ticket sales. THSRC has been listed on Taiwan Stock Exchange since 2016, with the Taiwan government owning about 63.5% through various public bodies and the MOTC as the largest shareholder. | Strong | 6.3 | ||||||||
|
Taiwan Railway Corp. Ltd. |
APAC | twAAA/Stable | January 2024 | Taiwan Railways was a nonprofit-seeking government agency under the Taiwan government, but it has transformed into a state-run corporation. The rail operator is the sole entity owning, maintaining, and operating Taiwan's national conventional railway network. The rail network stretches 1,065 km as the end of August 2023. In 2022, Taiwan Railways' conventional rail service accounted for 24.3% of public transportation passenger kilometers in Taiwan. Taiwan Railways is also involved in property leasing/development adjacent to railway facilities, which accounted for 14.3% of its total revenue in 2022. | Satisfactory | 21.6 | ||||||||
|
Ukrainian Railways JSC |
EMEA | CCC+/Negative | 2012 | The company is a fully state-owned monopoly rail infrastructure manager and rail passenger transport provider in Ukraine, and the sovereign’s largest rail freight transporter, though without a monopoly in this segment. On Dec. 5, 2022, the company proposed to defer all payments by 24 months to its 2024 and 2026 Eurobond holders. These holders constitute almost 80% of the company’s debt. | Weak | 2 | ||||||||
|
VR-Yhtyma Oyj |
EMEA | A+/Stable | 2018 | The company is a national rail transport operator in Finland that is 100% owned by the Finnish government and currently operates a monopoly in the long-distance passenger rail segment. It also operates in freight rail under the name VR Transpoint, where its market share is above 95%, even after the sector opened to competition in 2007. | Satisfactory | 1.4 | ||||||||
|
Vygruppen AS |
EMEA | A-/Negative | 1999 | Vygruppen is a Norway-based, state-owned provider of passenger and freight transportation services. Until the pandemic, the company derived about 50% of its earnings from its railway business in Norway and the remainder from tourism and bus businesses in Norway and Sweden. | Satisfactory | 4.5 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data. Some entities’ most recent available data may reflect fiscal 2022. km--Kilometer. | ||||||||||||||
Table 5
| S&P Global Ratings’ portfolio of project finance transportation transactions: Airports | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | OPBA | Most recent forecast minimum DSCR (x) | ||||||||
|
Aeropuerto Internacional de Tocumen S.A. |
Latin America | BBB/Negative | 2016 | Aeropuerto Internacional de Tocumen S.A. is in Panama and has an unlimited concession agreement to manage and operate one international airport. Panama's government has full ownership and control of the company. | 6 | 1.22 | ||||||||
|
Aerostar Airport Holdings LLC |
North America | BBB+/Stable | 2013 | Aerostar operates the Luis Munoz Marin international airport in San Juan, Puerto Rico, under a PPP concession with the government of Puerto Rico that runs for 40 years beginning in 2013. The airport is the main gateway to the island of Puerto Rico and has historically served 7 million-10 million passengers per year. | 4 | 1.63 | ||||||||
|
AFCO Airport Real Estate Group LLC |
North America | BBB/Stable | 2019 | Aviation Facilities Co. Management, and transportation related assets (AFCO), is an investor and developer of on-airport air cargo and other aviation facilities and currently holds long-term ground leases on 35 facilities across 18 airports in the U.S., and one in the U.K. It leases these facilities to air-cargo tenants such as Fedex, UPS, Amazon, and Southwest and repays project debt from lease revenues. Final maturity of the debt is around 25 years and matches expiration of key ground leases. | 7 | 2.17 | ||||||||
|
Arctic Infrastructure L.P. |
North America | A-/Stable | 2017 | Arctic Infrastructure L.P. (ProjectCo) designed, built, maintains, and rehabilitates the Iqaluit International Airport project in Iqaluit, Nunavut. The project has constructed an air terminal building; a new combined services building; runway, taxiway and apron improvements and rehabilitation; and improvements to the airport electrical and runway lighting systems. The design-build joint venture between Bouygues Building Canada Inc. (53%) and Sintra Inc. (47%), began construction in September 2013 and achieved full service on schedule in December 2017. The 30-year operating period started then and the project receives availability payments from Nunavut. ProjectCo has passed-down the facilities' O&M and lifecycle to a subsidiary of Winnipeg Airports Authority Inc. | 2 | 1.3 | ||||||||
|
Mexico City Airport Trust |
Latin America | BBB/Stable | 2016 | Mexico City Airport Trust is a financing trust that receives its income through all airport passenger charges generated by Mexico City's existing Aeropuerto Internacional de la Ciudad de México. The owner is GACM, which is an irreplaceable counterparty with a 50-year concession. | 4 | 1.75 | ||||||||
|
Transportation Infrastructure Properties LLC |
North America | BBB+/Stable | 2021 | TrIPs owns 38 air cargo facilities (36 assets after its latest financing) located in or near 25 U.S. airports including some of the largest hubs in the U.S. All the facilities are operational. TrIPs leases the land but owns the facilities. Bonds are supported by the net revenues generated under short‐term tenant leases. | 5 | 2.17 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. OPBA--Operations phase business assessment. DSCR--Debt service coverage ratio. PPP--Private-public partnership. O&M--Operations and maintenance. | ||||||||||||||
Table 6
| S&P Global Ratings’ portfolio of corporate transportation credits: Airports | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | Business risk | Debt to EBITDA (x) | ||||||||
|
Adelaide Airport Ltd. |
APAC | BBB/Stable | 2000 | AAL is the owner and operator of the Adelaide and Parafield airports in South Australia under long-term leases with the Commonwealth of Australia. The company is owned by long-term infrastructure-focused investors, including Unisuper Ltd. (50.5%), Hostplus Superannuation Fund (erstwhile Statewide Superannuation Trust; 15.0%), Igneo Infrastructure Partners (part of First Sentier Investors; 15.3%), IFM Investors (15.1%), and Perron Group (4.1%). AAL is the fifth-largest domestic and international airport in Australia and processed about 8.5 million passengers in fiscal 2019. Approximately 90% of the passengers travel domestically. The airport's key international routes link Adelaide to Singapore (Singapore Airlines) and Doha (Qatar Airways). | Strong | 5.7 | ||||||||
|
Aeroporti di Roma SpA |
EMEA | BBB/Stable | 2001 | The company is owned by Italian holding company Mundys (99.4%), which the rating is linked to. It is the largest operator of Italian airports, with exclusive concession for both Rome-based airports until June 30, 2046. | Strong | 2.5 | ||||||||
|
Aeroports de Paris |
EMEA | A-/Stable | 1992 | ADP owns and operates Paris' international airports (CDG, Orly, and Le Bourget). Its controlling stakes in TAV Airports (46%)--15 airports including five in Turkey--and AIG (51%) contributed to 17% and 4% of the company's EBITDA at the end of June 2023, respectively. It has minority stakes in Santiago del Chile (45%), GAL (45.7% in the new GIL), and Zagreb airports (35.8%). ADP is 50.6% owned by the French government. Other shareholders include VINCI S.A. (8%), Credit Agricole Assurances (7.8%), with institutional investors mostly holding the remainder. | Strong | 4.2 | ||||||||
|
Aeropuertos Argentina 2000 S.A. |
Latin America | CCC/Stable | 2011 | Aeropuertos Argentina 2000 S.A. is located in Argentina and has a concession agreement until 2038 to manage and operate 10 international and 25 domestic airports. | Weak | 2.6 | ||||||||
|
Aeropuertos Dominicanos Siglo XXI S.A. |
Latin America | BB/Stable | 2012 | Aerodom is located in Dominican Republic with a 30- year concession agreement to operate and manage five international airports and one domestic airport in the country. It's a subsidiary of Vinci. | Fair | 1.91 | ||||||||
|
Airport Authority Hong Kong |
APAC | AA+/Stable | 2000 | Airport Authority Hong Kong's primary mandates are to provide, operate, develop, and maintain Hong Kong International Airport (HKIA) at Chek Lap Kok to preserve Hong Kong's status as a center of international and regional aviation. Hong Kong remains a major gateway to mainland China and the region. Based on data from Airports Council International, HKIA was ranked first in terms of cargo volume and thirteenth in terms of passenger volume among all the airports in the world in 2019. The authority handled 71.5 million passengers in 2019. In fiscal 2023 (ended March 31, 2023), HKIA handled 12.4 million passengers. | Excellent | 11.8 | ||||||||
|
Airservices Australia |
APAC | AAA/Stable/A-1+ | 2000 | AsA is the legislated monopoly provider of air traffic control and related services to aircraft operators in Australian-controlled airspace, as defined by the International Civil Aviation Organization. The Australian government fully owns the company. AsA's services include safe and efficient airspace management, air traffic control, traffic and flight information, navigation services, aviation rescue and firefighting (ARFF), and environmental monitoring. The company manages domestic and international air traffic operations for more than four million aircraft movements in a typical year in a region covering 11% of the world's surface. | Strong | n.m. | ||||||||
|
Auckland International Airport Ltd. |
APAC | A-/Stable | 1995 | AIAL owns Auckland Airport, the largest airport and international gateway for New Zealand, capturing approximately 75% of the country's international passenger traffic. In fiscal 2019 (pre-COVID-19), about 11.5 million international passengers and about 9.6 million domestic passengers traveled through the airport. Total passenger numbers (about 21.1 million) approximately represent about 1.6x the combined total passenger numbers of Auckland Airport's regional peers, Wellington Airport and Christchurch Airport. AIAL also owns minority stakes in Queenstown Airport in New Zealand's South Island (24.99% stake), as well as the Novotel Hotel and the new Pullman Hotel at the Auckland International Airport (50% stake each). | Excellent | 4.3 | ||||||||
|
Australia Pacific Airports Corp. Ltd. |
APAC | BBB+/Stable | 1998 | Headquartered in Melbourne, Australia Pacific Airports Corp. Ltd. (APAC) owns and operates Melbourne Airport and Launceston Airport in Tasmania. Both are under 50-year leases from the Australian government, with options to extend for a further 49 years at the airports' discretion. Curfew-free Melbourne Airport is Australia's second-largest airport and APAC's principal asset. APAC holds a 90% stake in Launceston Airport. APAC is owned by infrastructure funds, with no shareholder having majority control: AMP Capital (27%), the state of New South Wales government--The Treasury (19%), Utilities of Australia (9%), IFM Investors Pty Ltd. (25%), and Future Fund (20%). | Excellent | 7 | ||||||||
|
Avinor AS |
EMEA | A/Stable | 2013 | The company owns and operates 43 of the 47 airports in Norway, in addition to three air traffic control centers and one remote control center in the country. It is 100% owned by the Norwegian government, which is in turn represented by the Ministry of Transport. In the rolling 12 months ended Sept. 30, 2023, the company’s total revenue was NOK11.6 billion, and S&P Global Ratings-adjusted EBITDA amounted to NOK3.6 billion. | Strong | 6.7 | ||||||||
|
Brisbane Airport Corp. Pty Ltd. |
APAC | BBB/Stable | 2000 | BAC, which is ultimately wholly owned by BAC Holdings Ltd. (BACH), operates Brisbane airport in the Australian state of Queensland. BACH is owned by a consortium of superannuation and infrastructure funds. BAC acquired a 50-year international and domestic airport lease from Australia's federal government in 1997, with an option to extend for a further 49 years. BAC owns and operates the international terminals, domestic terminal, runways, and general aviation facilities. BAC had passenger traffic of 20.1 million during the year to June 30, 2023. | Strong | 5.6 | ||||||||
|
Christchurch International Airport Ltd. |
APAC | A-/Stable | 1997 | CIAL owns and operates Christchurch International Airport in New Zealand's South Island. Christchurch City Council owns 75% of the issued capital of the company, with the remainder owned by the New Zealand government. The shareholders do not guarantee CIAL's financial performance or debt obligations. About 5.7 million passengers passed through Christchurch airport in the year ended June 30, 2023. Of these, about 81% were domestic and 19% international passengers. | Strong | 4.9 | ||||||||
|
daa PLC |
EMEA | A/Stable* | 2000 | The company is the Irish operator of Dublin and Cork airports and all related activities, from retail to managing the airports´ and car parks. It is state-owned but financed and managed independently of the Irish government. It also owns and operates airport retail businesses in 14 countries and holds stakes in other airports, namely 20% in Dusseldorf airport and 11% in Paphos and Larnaca airports in Cyprus. | Strong | 2.3 | ||||||||
|
Delhi International Airport Ltd. |
APAC | BB-/Positive | 2015 | DIAL holds exclusive rights to operate, manage, and develop Delhi International Airport. The airport is the largest in India, with a total capacity of about 100 million passengers annually after the completion of an expansion in March 2024. DIAL operates under a public-private partnership. GMR Airports Ltd. (GAL), a subsidiary of India-based infrastructure company GMR Airports Infrastructure Ltd., owns 64% of DIAL. The Airports Authority of India (AAI) is a strategic shareholder that owns another 26%, while Fraport AG holds 10%. | Satisfactory | 13.2 | ||||||||
|
Flughafen Zurich AG |
EMEA | A+/Positive | 2003 | Flughafen owns and operates Switzerland’s largest airport (31.5 million passengers in 2019) under a license expiring in 2051. It has a well-diversified portfolio, with 45% of 2019 revenue generated from commercial, real estate, service activities, and international investments in Latin America. It signed a concession for Noida International Airport in Delhi, in 2020, which we expect to contribute to EBITDA by 2025. | Strong | 1.8 | ||||||||
|
Gatwick Funding Ltd. |
EMEA | BBB/Stable | 2018 | Gatwick is the second largest airport in the London area, which is the most affluent in the U.K. Its catchment covers 20 million people or 30% of the U.K.'s population. The airport focuses on short-haul flights by premium- and low-cost airlines, with more than 180 routes, and offers more than 30 long-haul routes. Gatwick has two shareholders: Vinci S.A., which has owned a majority 50.01% stake since 2019; and a consortium of investors managed by Global Infrastructure Partners, which owns the remaining 49.99%. In the first six months of 2023, Gatwick reported revenue of £423.3 million, and EBITDA of £235.7 million. | Strong | 4.5 | ||||||||
|
GMR Hyderabad International Airport Ltd. |
APAC | BB/Stable | 2017 | GHIAL holds the exclusive rights to operate, manage, and develop the Rajiv Gandhi International Airport (RGIA) in India. RGIA is the principal airport in Hyderabad, the largest city in the Indian state of Telangana. The completed terminal expansion will have a capacity of 34 million passengers. GHIAL operates under a PPP. GMR Airports Ltd. (GAL), a subsidiary of India-based infrastructure company GMR Airports Infrastructure Ltd., owns 74% of GHIAL. The Airport Authority of India (AAI) and the Government of Telangana hold 26% as strategic shareholders. | Satisfactory | 9 | ||||||||
|
Grupo Aeroportuario del Pacifico S.A.B. de C.V. |
Latin America | mxAAA/Stable | 2017 | Grupo Aeroportuario del Pacífico S.A.B. de C.V. (GAP) is the largest private airport operator in Mexico and it operates 12 airports in various regions of the country, as well as two international airports in Jamaica. | Strong | 1.83 | ||||||||
|
Heathrow Funding Ltd. |
EMEA | BBB+/Stable | 2018 | Heathrow Funding Ltd. is a wholly owned subsidiary of Heathrow (SP) Ltd., a debt-issuing vehicle in the ring-fenced financing group. This group also includes the operating company Heathrow Airport Ltd. (HAL) that owns and operates Heathrow airport. HAL is the borrower of the debt issued through Heathrow. In the first nine months of 2023, it reported revenues of £2.7 billion and EBITDA of £1.7 million, while its cash position was £1.8 billion--more than its debt maturities of £953 million in the following 12 months. | Excellent | 6.9 | ||||||||
|
Incheon International Airport Corp. |
APAC | AA/Stable | 2021 | IIAC was established in 1999 and is the sole operator and developer of Incheon International Airport. The airport handles over 70% of the nation's international flights. The company is wholly owned by Korea's Ministry of Land, Infrastructure and Transport. The airport focuses on international flights. In November 2017, IIAC started its Phase 4 expansion project to meet the region's growing travel demand. The project comprises the construction of a fourth runway and expansion of Terminal 2. Upon completion in 2024, it will expand the airport's handling capacity to 106 million passengers and 6.3 million tons of cargo per year. | Excellent | 5.6 | ||||||||
|
Investimentos e Participacoes em Infraestrutura S.A. - Invepar |
Latin America | CCC+/Negative (global); brBB-/Negative (national) | 2012 | Invepar is a group that operates toll roads, urban mobility assets, and airports in Brazil. Following the company's restructuring, Invepar’s consolidated assets is mainly GRU Airport. | CCC category | 6.7 | ||||||||
|
NATS (En Route) PLC |
EMEA | A+/Stable | 2003 | NATS is the sole provider of air traffic control services en route in U.K. airspace, the eastern part of the North Atlantic, and to helicopter operations over specified areas of the North Sea. Air traffic services generates 95% of NERL’s revenue. The rest comes from Ministry of Defence, North Sea Helicopters, and other intercompany services | Strong | 3.2 | ||||||||
|
Perth Airport Pty Ltd. |
APAC | BBB/Stable | 1997 | PAPL owns and operates Perth Airport, the fourth-largest airport in Australia and the largest in the state of Western Australia. The company holds a 99-year lease on the airport that commenced in 1997. About 3.3 million international passengers and 10.9 million domestic passengers traveled to and from Perth Airport in fiscal 2023. PAPL is privately held by Perth Airport Development Group Pty Ltd. (PADG). PADG is owned by a consortium of investors. PADG also owns 100% of Perth Airport Development Group Investments Pty Ltd. | Strong | 6.1 | ||||||||
|
Royal Schiphol Group N.V. |
EMEA | A/Positive | 1993 | Royal Schiphol owns and operates the largest of the Dutch airports, Amsterdam Airport Schiphol, which is one of Air France-KLM's two major hubs. It is 69.8% owned by the state of the Netherlands, 20% by the Municipality of Amsterdam, 2% by the Municipality of Rotterdam, with the remaining 8% being treasury shares. It also owns and operates Lelystad Airport and Rotterdam Airport and holds a 51% stake in Eindhoven Airport. | Excellent | 7.5 | ||||||||
|
Southern Cross Airports Corp. Holdings Ltd. |
APAC | BBB+/Stable | 2003 | SCACH indirectly owns a 99-year fully prepaid lease in relation to the Sydney Kingsford Smith Airport in Sydney, which it acquired from the Australian federal government in 2002. SCACH is ultimately 100% owned by the Sydney Aviation Alliance, a consortium of large global infrastructure and airport investment funds. Sydney Airport generates revenue from passenger charges, retail activities provided by third parties, property, and car parking fees. | Excellent | 10.2 | ||||||||
|
TAV Airports |
EMEA | BB-/Stable | 2023 | TAV operates five airports in Turkiye (50% stake in Antalya, Ankara, Izmir, and Bodrum), Almaty airport in Kazakhstan, and several assets in Georgia, Macedonia, and Tunisia. The company (€1.2 billion revenues and €475 million S&P Global Ratings-adjusted EBITDA in 2022, which includes Antalya proportionate consolidation), is 46% owned by Aeroports de Paris. The rest is free float. Airport services (i.e. ground handling and commercial areas) generated 15% of adjusted EBITDA in 2022. | Satisfactory | 5.7 | ||||||||
|
Wellington International Airport Ltd. |
APAC | BBB/Stable | 1996 | Wellington International Airport Ltd. (WIAL) owns and operates Wellington Airport, the third-largest airport in New Zealand. The airport benefits from its location, which services New Zealand's capital city. Although passenger numbers increased to 5.3 million in fiscal 2023 from 3.5 million in fiscal 2022, they remained below the 6.4 million in fiscal 2019. The airport is 34% owned by Wellington City Council and the remainder by NZ Airports Ltd., a wholly owned subsidiary of New Zealand-based infrastructure fund Infratil Ltd. | Strong | 6.3 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. *S&P underlying rating. PPP-Public-private partnership. n.m.--Not material. | ||||||||||||||
Table 7
| S&P Global Ratings’ portfolio of project finance transportation transactions: Ports | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | OPBA | Most recent forecast minimum DSCR (x) | ||||||||
|
Adani International Container Terminal Pte. Ltd. |
APAC | BBB-/Stable | 2013 | AICTPL is a container terminal operator based in northwestern India. AICTPL operates container terminal 3 (CT3) and the CT3 extension, with four berths and a total length of 1,460 meters, along with cargo handling capacity of 3.5 million TEUs. Sub-concession rights for CT3 were granted in August 2012 and expire in 2031. The terminal's deepest available draft at berth is 17.5 meters. It is equipped with 17 super post panamax quay cranes, and is capable of handling ultra large container carriers. AICTPL is a 50/50 joint venture between Adani Ports and Special Economic Zone Ltd. (APSEZ) and Terminal Investment Ltd. (TIL). | 6 | 1.73 | ||||||||
|
Dalrymple Bay Finance Pty Ltd. |
APAC | BBB/Stable | 2006 | Located in the Australian state of Queensland, DBT is the third-largest bulk-export coal terminal in the world, handling about 15% of the world's metallurgical seaborne coal. It is held under a 99-year lease granted by the Queensland government in 2001. The terminal comprises a 3.8-km jetty, three ship loaders, and a stockyard. It is responsible for the day-to-day management of DBT under an evergreen O&M contract. DBT is currently fully contracted by 10-year ship-or-pay contracts. Tariffs are set by negotiation. Currently, tariffs are agreed until 2031. The debt is issued by Dalrymple Bay Finance Pty Ltd., and the transaction has been structured to be bankruptcy-remote. | 3 | 1.55 | ||||||||
|
North Queensland Export Terminal Pty Ltd. |
APAC | BB-/Stable | 2013 | NQXT is the special-purpose entity responsible for the operational activities of Abbot Point Coal Terminal (APCT). APCT is in Queensland and is Australia's northernmost coal port. The multi-user port has a design capacity of 50 mtpa that is about 80% contracted under medium- to long-term take-or-pay agreements. The port is held under a 99-year lease acquired by the Adani Group from the Queensland government in 2011. The port has also incorporated NQXT Capital Pty Ltd., which is the pass-through special-purpose financing vehicle for all refinancing for the project. | 7 | 1.6 | ||||||||
|
Newcastle Coal Infrastructure Group Pty Ltd. |
APAC | BBB+/Stable (senior) | 2016 | NCIG operates a 66 mtpa capacity coal export terminal in the Port of Newcastle on the central coast of New South Wales. The terminal is fully contracted under 10-year, evergreen ship-or-pay contracts. NCIG is 100% mutually owned by most of its shippers. As of June 30, 2023, NCIG had approximately US$1.68 billion of drawn senior secured debt. Its parent, NCIG Holdings Pty Ltd. (NCIGH), had approximately US$460 million of junior debt. | 5 | 2.02 | ||||||||
|
NCIG Holdings Pty Ltd. |
APAC | BB/Stable (junior) | 2016 | NCIG is the holding company of Newcastle Coal Infrastructure group. | 5 | 1.44 | ||||||||
|
Terminales Portuarios Euroandinos Paita S.A. |
Latin America | BB+/Positive | 2009 | Terminales Portuarios Euroandinos Paita S.A. operates in Peru and has concessions until 2039. | 8 | 2.03 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. OPBA--Operations phase business assessment. DSCR--Debt service coverage ratio. TEU--Twenty-foot equivalent unit. km-Kilometer. O&M--Operations and maintenance. mtpa--Million metric tons per annum. | ||||||||||||||
Table 8
| S&P Global Ratings’ Portfolio of corporate transportation credits: Ports | ||||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Entity name | Region | Rating and outlook as of July 19, 2024 | Commercial operations/Earliest rating | Entity summary | Business risk | Debt to EBITDA (x) | ||||||||
|
Adani Ports and Special Economic Zone Ltd. |
APAC | BBB-/Stable | 2015 | APSEZ is a transport utility with operations in port facilities, and integrated logistics capabilities, including multimodal logistics parks, warehouses, and industrial economic zones. The company is India's largest port developer and operator, with strategically located ports and terminals on the west and east coasts of the country. This includes APSEZ's flagship port at Mundra, which is the largest private port in India. The company also operates a multiproduct port-based special economic zone at Mundra. The Adani Group owned about 65.53% of APSEZ as of Sept. 30, 2023, with the remaining stake held by the public. | Satisfactory | 2.7 | ||||||||
|
Autoridad del Canal de Panama |
Latin America | A-/Negative | 2015 | Autoridad del Canal de Panama oversees the operation, administration, management, preservation, maintenance, and modernization of the Panama Canal. The Canal serves more than 140 maritime routes and 1,700 ports in 160 countries. Panama´s government has full ownership and control of the company. | Excellent | 0 | ||||||||
|
China Merchants Port Holdings Co. Ltd. |
APAC | BBB+/Stable | 2005 | Listed on the Hong Kong stock exchange since 1992, China Merchants Port Holdings Co. Ltd. (CMPort) is a leading port investor and operator in China with a presence in 25 countries and regions. It is primarily engaged in port operations and provision of related services. CMPort invests in 42 ports globally with a gross throughput of 137 million TEUs and an equity apportioned throughput of 50 million TEUs in 2022, spanning Asia-Pacific, Europe, Africa and Americas. Greater China accounts for the bulk of its assets and earnings with presence in hub ports along the coastal economic zones. | Strong | 3.6 | ||||||||
|
EP BCo S.A. |
EMEA | BB-/Stable | 2019 | EP BCo is a nonoperating holding company of international port infrastructure operator Euroports. It operates a network of 50 terminals under long-term concessions across Europe and China and handles about 64 million tons of dry bulk, break bulk, liquids, and containerized goods. In addition to handling services, the company offers port-related value-added services, land transportation, and freight-forwarding services. Cycorp indirectly owns 53.4% of the company, Belgian sovereign wealth funds PMV and FPIM own the remaining stake, with 23.3% each. | Strong | 5.9 | ||||||||
|
Hutchison Port Holdings Trust |
APAC | A-/Stable | 2015 | Hutchison Port Holdings Trust provides port and related services. Its core port services include loading and unloading containers to and from ships, temporary storage of containers and cargo, and handling of containers within its container terminal premises. The company has interests in deep-water container port assets in Hong Kong and China. These assets include Hongkong International Terminals (HIT) in Kwai Tsing Container Port, Hong Kong; and Yantian International Container Terminals in Shenzhen Port, China. Together, HPHT operates 38 berths across 647 hectares of land and handled more than 22.7 million TEUs in 2022. | Strong | 3.4 | ||||||||
|
Mersin International Port (Mersin Uluslararasi Liman Isletmeciligi A.S.) |
EMEA | BB-/Positive | 2019 | MIP operates the Port of Mersin in southern Turkiye under a concession maturing in May 2043. Mersin is Turkiye’s largest container port and handled 2 million TEU and 8.7 million metric tons of cargo in 2022. Its capacity is 2.6 million TEU and 10 million metric tons per year. | Satisfactory | 1.9 | ||||||||
|
NSW Ports Finance Co. Pty. Ltd. |
APAC | BBB/Stable | 2014 | NSW Ports Finance is the funding vehicle for the NSW Ports group of companies, the holders of long-term 99-year leases over the ports of Botany and Kembla in New South Wales. Owned by a group of long-term infrastructure-focused investors, the group acquired those leases from the state government in May 2013. Port Botany and Port Kembla are together the second-largest container port in Australia. The port also handles a range of dry bulk, bulk liquid, and general cargoes. NSW Ports operates the ports under a landlord model. The group does not handle the cargo. | Excellent | 6.5 | ||||||||
|
Port of Newcastle Investments (Financing) Pty Ltd. |
APAC | BB+/Positive | 2021 | PONF is the common financing vehicle of the wider PON group. The group is a stapled structure. China Merchant Port Holdings Co. and The Infrastructure Fund hold a 50% stake each in the port. PON is the largest coal export port in Australia and a landlord port. It is the sole export port for coal mines the Hunter region in New South Wales. In fiscal 2023 (ended Dec. 31), PON's coal exports totaled 144 metric tons and EBITDA was A$104.1 million on an asset base of A$2.6 billion. The port is subject to light regulatory oversight, with flexibility to set its own tariffs. | Strong | 8.2 | ||||||||
|
Port of Tauranga Ltd. |
APAC | A-/Stable | 2001 | PoT is a publicly listed company on the New Zealand Stock Exchange. It is 54% owned by Bay Of Plenty Regional Council. PoT has a few joint ventures and investments in other ports and port-related businesses in New Zealand. PoT is New Zealand's largest port and international freight gateway. It handled about 24.7 million tons of throughput in fiscal 2023. Container volumes totaled almost 1.2 million tons. Export volumes account for about two-third of trade volumes, excluding transshipments. Its trade volumes are historically stable through both logging and climatic cycles. | Satisfactory | 2.1 | ||||||||
|
QPH Finance Co. Pty. Ltd. |
APAC | BBB/Stable | 2012 | QPH is a special-purpose financing arm of PoB and is fully guaranteed by PoB. PoB manages the container and general cargo port located at the mouth of Brisbane River in Queensland under a 99-year lease from the state government that commenced in 2010. The 1,882-hectare landlord port earns revenue from harbor dues, wharfage, property revenue, dredging, and other charges. It does not handle cargo directly. PoB is owned by the APH consortium, comprising Caisse de dépôt et placement du Québec (26.67%), IFM Investors Pty Ltd. (26.67%), QIC Global Infrastructure Fund (26.67%); and Tawreed Investments Ltd. (19.99%). The shareholding base has remained steady over the past few years. | Strong | 6.3 | ||||||||
|
Santos Brasil Participacoes S.A. |
Latin America | brAAA/Stable | 2008 | Santos Brasil has lease rights to operate eight marine terminals in Port of Santos, which is in São Paulo state. The group has a 30-year operational agreement, serving more than 9,000 customers. | Fair | 1.5 | ||||||||
|
Shanghai International Port (Group) Co. Ltd. |
APAC | A+/Stable | 2014 | SIPG is the world’s largest port operator by container throughput. Situated at the mouth of Yangtze River, Port of Shanghai handled 47.3 million TEUs in 2022 (and small bulk cargo of 78 million tons). The company also operates its self-developed Haifa port in Israel. SIPG has port logistics, including intra-Asia shipping. The company’s minority stakes in banks, shipping, and port associates contribute sizable dividends each year. We estimate on a normalized basis adjusting for property segment and windfall shipping dividends, about two-thirds of EBITDA comes from port and related operations. | Strong | 1.3 | ||||||||
|
Terminal de Conteineres de Paranagua S.A. |
Latin America | brAAA/Stable | 2016 | TCP operates the Container Terminal in Paranaguá in Paraná state, with a handling capacity of 2.5 million TEUs, and it has rights to operate until 2048. We analyze it under China Merchant group. | Satisfactory | 2.9 | ||||||||
| All DSCR and debt to EBITDA numbers are most recent available S&P Global Ratings data as of July 19, 2024. Some entities’ most recent available data may reflect fiscal 2022. TEU--Twenty-foot equivalent unit. | ||||||||||||||
This report does not constitute a rating action.
| Primary Credit Analysts: | Trevor J D'Olier-Lees, New York + 1 (212) 438 7985; trevor.dolier-lees@spglobal.com |
| Julyana Yokota, Sao Paulo + 55 11 3039 9731; julyana.yokota@spglobal.com | |
| Stefania Belisario, Madrid +34 91 423 3193; stefania.belisario@spglobal.com | |
| Laura C Li, CFA, Hong Kong + 852 2533 3583; laura.li@spglobal.com | |
| Mary Anne Low, Singapore + (65) 6239 6378; mary.anne.low@spglobal.com | |
| Dhaval R Shah, Toronto + 1 (416) 507 3272; dhaval.shah@spglobal.com | |
| Gonzalo Cantabrana Fernandez, Madrid + 34 91 389 6955; gonzalo.cantabrana@spglobal.com | |
| Secondary Contacts: | Bradford Phelps, New York +1 (516) 287-0247; bradford.phelps@spglobal.com |
| Krista Sillaste, New York +1 (332) 238-8801; krista.sillaste@spglobal.com | |
| Kurt E Forsgren, Boston + 1 (617) 530 8308; kurt.forsgren@spglobal.com |
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