Wragge & Co advises Amey on £2.7 billion Birmingham highways PFI project
Wragge & Co's PFI team has advised Amey on its new £2.7 billion highways maintenance contract with Birmingham City Council, the largest ever local government highways PFI.
Under the 25-year contract, which begins this week, public services provider Amey will oversee the upgrade and maintenance of Birmingham's infrastructure network. This includes 2,500 km of road, nearly 100,000 street lights and more than 850 bridges, structures and tunnels.
PFI partner David Fennell led a cross-firm team, with support from partners Sarah Sasse, Phil Clissitt and Kieron Dwyer and associates Nicholas Foulkes and Joe Levin. Wragge & Co's property, construction, employment, pensions, banking and litigation experts assisted. The team worked closely with Amey directors Keith Cottrell and Kelvin Dryden.
David Fennell said: "We have been a valued and trusted legal adviser to Amey from the outset; helping to secure preferred bidder status in August 2009 after a five-year long process. The largest of its kind in the UK, this landmark project demanded strong PFI expertise and technical excellence."
Mel Ewell, chief executive of Amey, added: "We are extremely pleased to announce the start of the Birmingham Highways PFI and launch this important partnership between Amey and Birmingham City Council. This significant project will not only deliver an enhanced level of service to Birmingham, but will improve the city's highway infrastructure for the travelling public in the region."
As well as boosting the region by creating around 300 jobs in the next year, the PFI agreement is set to transform Birmingham's highway infrastructure by providing significant capital investment. Amey will invest £350 million in repairing roads and pavements and providing thousands of new street lights in the first five years of the contract.
The Department for Transport and Birmingham City Council will fund the remainder of the project. Denton Wilde Sapte advised the consortium of lenders comprising the Bank of Ireland, Dexia Group, Lloyds Banking Group, Nationwide, Natixis and NIBC Bank. DLA acted for Birmingham City Council.
Amey is one of the UK's leading public services providers. With more than 11,000 employees, the company works with public and private sector clients in highways and rail, street lighting and facilities management.
Wragge & Co's 11-lawyer PFI team advises local government and government departments, contractors, sponsors and funders on PFI, PPP and international projects. Supported by the firm's finance, construction, planning, IT and property experts, the team has the necessary expertise and experience to handle the most complex projects.
Highlights include advising consortium, Community Lighting Partnership (CLP), in reaching financial close on the £30 million Blackpool Street Lighting and Traffic Signals PFI project. The team is also acting for Amey on its bid for the £2.8 billion Sheffield Highways PFI project.
For further information about this press release, contact Kathryn Hobbs on +44 (0)121 685 2785, Rebecca Davies on +44 (0)121 685 3819, Gayle Biddle on +44 (0)121 685 2708 or Amy Richards on +44 (0)121 260 9973
This press release may contain information of general interest about current legal issues, but does not give legal advice.