On February 24, 2022, in Hanoi, Cao Bang Provincial People's Committee and a consortium of investors include: Deo Ca Group, Phu My Group, Thanh Loi Trading - Investment Construction Company and Van Phu - Invest Investment Joint Stock Company have signed an agreement, committing to invest in Dong Dang (Lang Son) - Tra Linh (Cao Bang) expressway project.

Attending the signing ceremony, on the side of the Central leadership, there were Mr. Mai Tien Dung - Former Chairman of the Government Office, Mr. Dinh Ngoc Minh - Full-time member of the National Assembly Economic Committee, Mr. Lai Xuan Mon - Standing Deputy Head of the Central Committee for Propaganda, Mr. Vu Tien Loc - Chairman of VIAC, Mr. Nguyen Van Long - Director of the Local Department of the Central Internal Affairs Committee.

On the side of Cao Bang province, there was Mr. Tran Hong Minh - Secretary of Cao Bang Provincial Party Committee; Mr. Hoang Xuan Anh - Chairman of Cao Bang Province, Deputy Secretary of the Provincial Party Committee.

On the side of the investor consortium, there were Mr. Ho Minh Hoang - Chairman of the Board of Management of Deo Ca Group, Mr. Chu Duc Luong - Chairman of the Board of Management of Phu My Group, Mr. Trieu Huu Dai - General Director of Van Phu Company and Mr. Nguyen Dinh Loi - General Director of Thanh Loi Company, along with all leaders at all levels, ministries and branches attended this meaningful ceremony.

The overview of the signing ceremony

At the signing ceremony, Mr. Ho Minh Hoang shared: “For me and Deo Ca Group, we have and will always focus on Cao Bang with an aspiration to realize this expressway. That determination not only comes after the Prime Minister's advice, but it is shown by the work we have researched together with Cao Bang and taken firm steps during the past time. Our determination, our focus, our desire are shown by the times when we offer incense to report to Uncle Ho at his temple in Pac Bo relic area".

Mr. Ho Minh Hoang - Chairman of the Board of Management of Deo Ca Group spoke at the signing ceremony

Cao Bang province also commits to focus all resources on the project and actively cooperates with relevant agencies to well perform the role of the Competent State agency of the project. Mr. Hoang Xuan Anh - Deputy Secretary, Chairman of Cao Bang Provincial People's Committee also assessed: "For Dong Dang - Tra Linh Expressway Project, today is an important milestone when the investors of Deo Ca, Van Phu, Phu My, and Thanh Loi signed an investment cooperation agreement. These are all large, experienced enterprises in the fields of traffic, real estate, industrial parks. Some of them are reputable public companies on the stock market, with a way of creating “real products”, bring “real value” to increase “real value”.

Mr. Hoang Xuan Anh, Deputy Secretary of the Provincial Party Committee, Chairman of the People's Committee of Cao Bang province spoke at the signing ceremony.

Dong Dang - Tra Linh Expressway is invested by the method of public-private partnership (PPP), has the People's Committee of Cao Bang province as competent state agency. This is a very difficult project in terms of topography, geology, technical factors, legal procedures, especially the huge capital demand. In order to realize this project, the whole political system of the province over the years has taken a drastic action so that the project can be implemented as soon as possible. Therefore, in order to increase the feasibility, Cao Bang province has called for investors to research.

Capital structure of Dong Dang - Tra Linh Expressway project

The project has a total investment of 13,181 billion VND for the first phase (2021-2025), using the 3-P model in contributing capital, including: State budget capital (P1) is 6,580 billion VND, including the state budget the Central budget is 2,500 billion VND and local budget is 4,080 billion VND; Investor's equity (P2) is 1,230 billion VND and other mobilized capital (P3) is 5,371 billion VND.

About the other mobilized capital, investors will mobilize in the form of bank loans, bond issuance, signing business cooperation contracts (BCC), etc.... in which the Investor Consortium (Deo Ca, Van Phu - Invest, Phu My, Thanh Loi) committed to participate in the investment cooperation capital (BCC) of 2,685 billion VND and together with the Provincial People's Committee to mobilize the rest of about 2,685 billion VND (credit capital) to implement the project.

The signing ceremony of Cooperation Investment in Dong Dang – Tra Linh expressway project

Deo Ca Group is a leading investor in the field of transport infrastructure under the mode of public-private partnership. The company has successfully built many key works of the transport industry such as Deo Ca, Co Ma, Cu Mong, Hai Van tunnel, Bac Giang - Lang Son expressway, Trung Luong - My Thuan expressway, Cua Luc bridge, Bao Bien tunnel...

Besides, Van Phu - Invest is a real estate investor with nearly 20 years of experience in implementing large-scale urban real estate projects such as Van Phu - Ha Dong urban area, Con Khuong - Can Tho urban area; PPP projects such as Hanoi - Bac Giang expressway, 5 BT traffic routes project connecting infrastructure of urban areas and residents in Ha Dong district, and many prestigious BT project…. Along with that, Thanh Loi is an Investor to develop Logistic services, Phu My is an Investor to develop Urban Industrial Park…

The cooperation of 4 investors increase strength, unity and determination to Cao Bang province to implement the expressway, opening more opportunities for Cao Bang to synchronously develop urban, industrial, and other current real estate projects, transshipment, trade and services.

The consortium of investors may propose or participate in investment registration, bidding to select investors to implement other projects in Cao Bang province and commit to use profits from these projects to invest in the expressway project.

Dong Dang - Tra Linh Expressway is an important project of Cao Bang province, belonging to Group A approved by the Prime Minister in August 2020 in the form of public - private partnership (PPP). The starting point of the project is at the intersection of the expressway connecting Huu Nghi - Chi Lang with Tan Thanh and Coc Nam border gates in Van Lang district (Lang Son). The end point of the project is at Tra Linh border gate area (Trung Khanh). The scale of the project is to complete 4 lanes for motor vehicles with a width of 17m, the expressway section is designed according to highway standards TCVN 5729-2012.

BY TRA MY