Capital Legal Services has advised the Perm Concession Company — part of the VTB group — on its June 21, 2017 agreement with the government of the Perm region of Russia to construct and operate a bridge over the Chusovaya river.
The agreement covers a period of 15 years and involves an overall volume of investments of some RUB 14 billion, part of which will be provided by private investments from the VTB group. According to CLS, "under the agreement, the [Perm Concession Company] undertakes to build a new bridge, repair the existing one, reconstruct the access roads to the bridge, and create a modern system for managing road traffic.
CLS Partner Pavel Karpunin commented that: “Signing the concession agreement is a key event that allows transitioning from tender and negotiation procedures as such to implementing the project and resolving new tasks. It is very important that irrespective of the many issues we see today, the concession mechanism is working, since a concession is one of the most effective ways to attract private investments into infrastructure.”
Capital Legal Services will continue to render support to PCC during subsequent stages of the process as well, the first of which being the signing of a general contractor agreement and the financial closing.