Most banks and financial institutions are eagerly awaiting the decision of the Department of Transportation (DOTr) on the lucky proponent, among the four, that will undertake the P170.6-billion rehabilitation of the country’s premier gateway -- the Ninoy Aquino International Airport (NAIA).

BDO Unibank, the Philippines’ leading bank, is one of the lenders closely monitoring developments of the NAIA rehab program.

Instead of participating in any of the consortium, BDO opted to wait on the sidelines ready to extend funding for the winning bidder. 

Teresita Sy-Coson, BDO chairperson, said her bank is ready to lend. “We will finance.”

Other top lenders that are now affiliated/associated with any of the consortium, such as the Metropolitan Bank and Trust Company, Security Bank, including state-owned Land Bank of the Philippines, are also keenly interested in the bidding outcome, which will be announced in less than ten days from now.

This early, words are going around the banking community that conglomerates behind the Manila International Airport Consortium, tagged as the “super consortium,” are negotiating with a select number of lenders to reportedly “sign an exclusivity” agreement that they will only participate in the consortium’s borrowings to bankroll the project.

Under the bidding’s terms of reference (TOR), the winning bidder will be given three to six months for the “financial closing,” which according to DOTr Secretary Jaime J. “JJB” Bautista includes the most important detail – how to raise the P170.6-billion project funding.

The ratio, under the TOR, is 20 percent equity and 80 percent financing. Heard from the banking community that lenders want to increase the equity portion to 30 percent, thus, bringing down a bit the financing to 70 percent.

Alternatively, this would mean that shareholders of the winning consortium would dip into their pockets for the P51.18 billion, an uptick of P17.06 billion from the P34.12 billion.

This is on top of P30 billion upfront payment to the government upon signing of the contract scheduled on March 15. The TOR, likewise, stipulates a P2-billion annual income for the government.

On the financing side, the winner will have to source out some P119.42 billion. To avoid a further tightening of liquidity in the local market, the lucky bidder will have to tap not only local banks but also foreign lenders, which according to market sources must not have any operations in the country. “This is to bring foreign investors in.”

A muted source embedded in one of the project proponents shared that this early, Americans and European banks have already signified their interest to participate in the fund raising.

Lenders identified or affiliated with the “super consortium” based on their stakeholders include Union Bank of the Philippines, Bank of the Philippine Islands and East West Bank. Philippine Bank of Communications is affiliated with the Asian Airport Consortium; Rizal Commercial Banking Corporation for GMR Airports; and Bank of Commerce for SMC SAP and Company.

The rehab of the country's premier gateway is long overdue. NAIA's service capacity stands at 45.385 million passengers, roughly 40 percent more than the 35-million capacity when it opened some 76 years ago.

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