Pocahontas Parkway is an 8.8-mile tolled highway south of Richmond, Virginia. The Commonwealth of Virginia originally concessioned the asset to an affiliate of Australian toll road operator, Transurban Group, for 99 years in 2006.
Macquarie and a consortium comprising TPG and Citigroup acquired Pocahontas Parkway from Transurban in 2014. Macquarie acquired TPG and Citigroup’s stake in August 2015 for approximately $400 million. Following this, we advised Pocahontas Parkway Operations and Macquarie in completing the sale of 100 percent of the equity to Globalvia.
How we helped
The Steer team prepared a detailed traffic and revenue report highlighting the historical performance of the asset, the potential for growth and long-term scenarios of toll and revenue. The study involved detailed review of historical toll and revenue data, field and desktop data collection, an econometric growth model and travel demand modeling including tolls.
Successes and outcomes
Working closely with the seller’s financial advisor, Evercore, we gave management presentations to potential buyers and responded to extensive Q&A during marketing of the asset.
Our efforts assisted Pocahontas Parkway and Macquarie in the sale to Globalvia for $600m, reaching financial close in December 2016.
Yes, you are in the right place. After 40 years, we have changed our name from Steer Davies Gleave to mark our growing international footprint and our expanding portfolio into markets beyond transportation.
Explore our new website to learn more about Steer: who we are, how we work and what our future holds.
