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CHEC secures guarantee facility for Bogota Metro Line 1, Colombia [free access]

June 25, 2020

Spain-based financial services provider BBVA has signed an agreement with China Harbour Engineering Company Limited (CHEC) to provide a guarantee facility worth USD90 million to develop Bogota Metro Line 1. This is the first transaction certified by BBVA in Asia in compliance with its sustainable transactional banking framework.

 

Bogota Metro Line 1 will span 23.9 km. It will be developed, partially financed, and operated and maintained (O&M) by METRO LÍNEA 1 SAS, comprising CHEC (a subsidiary of China Communications Construction Company) (85 per cent stake) and Xi'An Rail Transportation Group Company Limited (15 per cent stake). It is also supported by subcontractors Brazil-based CRRC Changchun Do Brasil Railway Equipamentos e Servicos and Bombardier Transportation España (Spain-based subsidiary of Bombardier). The contract also entails provision of detailed design services; partial financing of the project; social and environmental management; construction of the workshop yard, viaduct, and the stations; as well as reconfiguration of road corridors along the route.