19 Jul 2006
The Power Sector Assets and Liabilities Management Corporation (PSALM) received expressions of interest to participate in the forthcoming public bidding for the 25-year concession of the National Transmission Corporation (TransCo) from 12 investor groups, PSALM vice-president Nonito R. Bernardo, Jr. said.
PSALM gave interested parties until July 18 to send their expressions of interest. Interested bidders are required to sign a confidentiality agreement before they are given their copies of the transaction documents and access to the TransCo data room and facilities so they can start their due diligence efforts.
Mr. Bernardo declined to identify the interested parties, saying most of them are currently represented by their lawyers and investment bankers.
Meanwhile, interested bidders can now submit the documents required by PSALM for the pre-qualification stage. Mr. Bernardo said the schedule of the first pre-bid conference will be announced soon.
Prospective bidders are required to have a member or affiliate with sufficient experience in operating and maintaining electricity transmission systems comparable to that of the Philippines, with at least 6,000 circuit kilometers and a minimum of 6,000 megawatts peak demand, and a voltage level of 115 kilovolts to 230 kV.
The foreign investor who will bid for TransCo must have a net asset value or market capitalization of $175 million. The Filipino partner, on the other hand, must have $300 million.
Strategic Communications and Partnership Division |