Latham & Watkins has advised the issuer on the US$316.3 million bond offering of Varanasi Aurangabad NH-2 Tollway Private Limited (VAH), a ROADIS project responsible for the expansion to six lanes, operations, and maintenance of the 192 kms highway from Varanasi to Aurangabad. The bonds carry a coupon rate of 5.9% and will mature in close to nine years.
The transaction sets a new milestone in the Indian road sector, with VAH becoming the first Indian road concession company to raise US$ denominated project debt in the international capital markets and to obtain Investment Grade by Moody’s and Fitch.
The Latham team was led by Singapore corporate partner Rajiv Gupta and Madrid partner Fernando Colomina, with Singapore counsel Jeremy Wang, Madrid counsel Luis Sanchez, and Singapore associate Kay Howe Lee. Advice was provided on US tax matters by Chicago partner Rene de Vera and New York partner Bora Bozkurt, with Boston associate James Aldred; and on 1940 Act matters by Chicago partner Laura Ferrell, with associate Daniel Filstrup.
