PSALM holds 3rd round of comments for TransCo bidding

05 Dec 2006

The Power Sector Assets and Liabilities Management Corporation (PSALM) has decided to give the prequalified bidders for the 25-year concession of the National Transmission Corporation (TransCo) a third opportunity to comment on and clarify the amendments, revisions and modifications in the bidding procedures before the bid transaction documents are finalized.

"Due to numerous and complex issues raised by all the prequalified bidders during the second round of comments, PSALM decided to open another window of opportunity for the bidders to clarify their concerns," said PSALM President Nieves L. Osorio.

PSALM has yet to decide whether or not to push the scheduled public bidding to a later date. The bidding for the TransCo concession is set on 20 December.

The final transaction documents are the execution versions of the bid transaction documents that incorporate the comments of the investor groups. These include the Direct Agreement and the Concession Agreement.

"The Privatization, Bids and Award Committee will evaluate the implications of the suggestions made and amendments proposed by the prequalified bidders," Ms. Osorio pointed out. "It is the sole discretion of the committee to accept the suggestions and/or amendments it considers relevant. The appropriate revisions will be incorporated in the final transaction documents."

A draft of the transaction documents incorporating the modifications and revisions approved by the PSALM Bids and Award Committee will be made available to the bidders, while changes in the timetable will be communicated to the prequalified bidders through a supplemental bid bulletin.

The three prequalified groups vying for the 25-year concession of the country's sole transmission arm include the Consortium of Triratna Holdings Corporation, Tenaga Nasional Berhad and Newbridge Asia IV, L.P.; the Consortium of Citadel Holdings Inc. and Terna SPA; and the Consortium of Monte Oro Grid Resources Corporation and State Grid Corporation of China.

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