IMAP Portugal Advises on PFI Award-Winning LusoLAV High-Speed Rail PPP

Landmark High-speed Rail PPP in Portugal

Portugal’s first passenger high-speed rail line between Porto and Lisbon has reached a major milestone with the concession of the initial 71 km stretch from Porto to Oiã being recognized as PFI’s Europe PPP Deal of the Year. This section forms part of a new high-speed rail corridor that will ultimately cut travel time between Portugal’s two largest cities from 2 hours 49 minutes to around 1 hour 15 minutes.

The LusoLAV consortium, led by Mota-Engil together with Teixeira Duarte, Casais, Alves Ribeiro, Conduril, Gabriel Couto and infrastructure fund Serena Industrial Partners, signed a 30‑year PPP contract with Infraestruturas de Portugal, covering design, engineering, construction, financing, maintenance and availability of the new line. The concession includes crossings over the Douro River, two stations, several tunnels, and a connection to the existing network.

Complex Project Finance Structure for a Strategic Rail Asset

With a total project cost of approximately EUR 2.7 billion, the Porto–Oiã section ranks among the largest global transportation project finance deals. Debt financing of more than EUR 2 billion is being provided by a club of 12 financial institutions, including the European Investment Bank, commercial banks and institutional investors, complemented by EU grants, Portuguese public funds and equity contributions.

The EUR 2.2 billion financing package for this first phase combines long‑tenor facilities from the EIB backed by an InvestEU-guarantee (EUR 875m 28-year tranche), five institutional investors (EUR 560m 28-year tranche) and seven commercial lenders (EUR 410m 25-year commercial portion) alongside support from the EU’s Connecting Europe Facility (EUR 447m grant), reflecting the project’s strategic importance for both Portugal and the wider European rail network. The PPP structure foresees a five‑year construction period followed by 25 years of operation and maintenance with availability‑based revenues.

IMAP Portugal’s Advisory Role to LusoLAV

Invest Corporate Finance - IMAP Portugal, advised LusoLAV throughout the 18‑month process leading up to the concession award and financial close. The team supported the consortium from the bidding stage, helping to prepare and submit the winning bid, optimize the capital structure and develop comprehensive marketing materials for lenders.

Advisory work also included building the financial model, engaging with a wide group of potential financiers, supporting lenders’ due diligence, leading financing negotiations and assisting with the documentation required to close the transaction. IMAP Portugal’s deal team was led by Gonçalo Vaz Botelho, Pedro Benites, Luísa de Castro Domingos, Bernardo Pena and Gabriel Zancu.

IMAP is proud to have contributed to this award‑winning transport infrastructure project and to support clients in delivering complex rail PPPs that enhance connectivity, mobility, and sustainable growth.