City trio advise as £30bn London Underground PPP comes to an end
Freshfields Bruckhaus Deringer, Norton Rose and CMS Cameron McKenna have all taken roles on the deal that has seen Transport for London (TfL) take over maintenance responsibilities for three London Underground lines from the Tube Lines consortium. The agreement will bring to an end the £30bn public-private partnership (PPP) to upgrade the Tube, with TfL now taking control of the upgrades on the Jubilee, Northern and Piccadilly Lines.
May 14, 2010 at 05:39 AM
2 minute read
Freshfields Bruckhaus Deringer, Norton Rose and CMS Cameron McKenna have all taken roles on the deal that has seen Transport for London (TfL) take over maintenance responsibilities for three London Underground lines from the Tube Lines consortium.
The agreement will bring to an end the £30bn public-private partnership (PPP) to upgrade the Tube, with TfL now taking control of the upgrades on the Jubilee, Northern and Piccadilly Lines.
TfL, controlled by London Mayor Boris Johnson, has bought out the share capital and loan notes from contractor Tube Lines, which is owned by Amey, a UK subsidiary of Spain's Ferrovial, and US company Bechtel, in a deal worth a reported £310m.
The deal is expected to complete by the end of June and effectively brings the London Underground under public control.
Freshfields advised Amey, with a team headed up by finance partner Nick Bliss and corporate partner Pratap Amin, while Camerons took a role for regular client TfL with banking partner Andrew Ivison leading the firm's team.
Norton Rose advised Bechtel with a team headed up by corporate finance partner Alan Crookes.
Meanwhile, Hogan Lovells took a role advising Tube Lines with infrastructure and project finance partner Mike Matheou at the helm.
Liberal Democrat London Assembly Transport spokesperson Caroline Pidgeon commented: "I welcome the end of PPP deal, which has proved to be a huge mistake for both the taxpayer and travellers."
The original 2002 PPP deal saw Freshfields advise London Underground, while Lovells took the lead for Tube Lines consortium and Norton Rose advised the European Investment Bank and Ambac on the deal's financing.
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