MPIC expands toll road reach abroad

Conglomerate Metro Pacific Investments Corp. (MPIC) is set to sign an agreement with the Indonesian government to operate the Trans-Java Toll Road next month — a move that will allow the Pangilinan-led infrastructure conglomerate to finally firm up its toll business merger with San Miguel Corp. (SMC).

“What we’re waiting for there, the last major piece is the closing of the Trans-Java toll road because it’s big. That’s 676 kilometers of finished toll roads in Indonesia, and they have about 700,000 to 800,000 vehicles per day,” MPIC chairman and president Manuel V. Pangilinan said on Tuesday.

“From a valuation standpoint, it’s important to us because it’s valuable because the deal with San Miguel is 50-50. Hopefully, by July, it will be closed, and we can sign the definitive agreement,” he added.

Pangilinan pointed out that Metro Pacific Tollways Corp. (MPTC), the toll road arm of MPIC, is bullish that the transaction with SMC will push through.

“There’s already data being exchanged between the two tollways. So, the numbers are already formed. It will be done. It’s just a question of time,” he said.

MPTC and SMC both agreed to consolidate their toll road business aimed at further easing gridlock in areas where they operate. The 50-50 merger includes Pangilinan group’s assets overseas.