Press Releases 2005

June 30, 2005
Public-Private Partnership: Bilfinger Berger secures long-term concession for hospitals in Sydney worth €100 million

With its selection as preferred bidder for the privately financed development of two hospitals in Sydney, Bilfinger Berger has further consolidated its position in the sector of Public-Private Partnerships in Australia. The Group is to design, finance, build and then operate both facilities for a 25-year period. The project will have an estimated value of €100 million. Bilfinger Berger's Australian subsidiary, Baulderstone Hornibrook, which has significant experience in undertaking demanding projects within the health-care sector, will have responsibility for design and construction.

Australia is one of Bilfinger Berger's most important markets for privately financed concession projects. The company recently signed a major concession for a hospital in Melbourne with a total project volume of €190 million. In addition, Bilfinger Berger is currently realising a €150 million Public-Private Partnership concession for two prisons West of that city. Another sector of interest for the concessions business is the road transportation network, with Bilfinger Berger playing a major role in the 40-kilometer M7 expressway West of Sydney, and also in the two-kilometer-long Cross City Tunnel, a fully electronic toll tunnel crossing underneath Sydney's central business district.

Bilfinger Berger's concession project portfolio has expanded significantly in recent years. Though still at an early stage in its lifecycle, the total present value of the portfolio has increased substantially, and already exceeds considerably the book value of the company's paid-in project equity. Bilfinger Berger plans a continued expansion of its concessions portfolio with new projects which meet the Group's strict criteria for return on equity.