The South African National Roads Agency (Sanral) had total bids to the value of R1.2 billion in its third bond auction in 2011.
The agency says the auction was more than four times oversubscribed and it only issued R300 million worth of bonds.
Five of the six bonds that were on offer were issued at market spreads or better, two bonds were issued under the guaranteed programme, and three were non-guaranteed bonds.
E-toll success
The agency previously attributed the success of its first bond auction in 2011 to e-tolling and government's debt management.
“Sanral is pleased with the response. The organisation remains committed to ensuring investors receive returns on their investment.”
It adds that it is awaiting the completion of the consultation process on the Gauteng Freeway Improvement Project (GFIP) and the much-anticipated announcement of the e-toll tariffs.
“Sanral will continue with its capital-raising model, which has proved successful in raising the much needed funds for the timeous execution of SA's national road infrastructure projects.”
E-tolling forms part of the GFIP. The 185km of new toll infrastructure will see the N1 to Pretoria, Johannesburg ring roads and the R21 to Pretoria become electronic tolling zones.
The proposed e-toll tariffs were suspended and referred for public consultation, after much outrage from opposition parties, organised labour and citizens, as the tariffs were deemed too high.
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