The increase in inflation, high interest rates and the devaluation of the Colombian peso led to Conconcreto a desist from construction of the third rail of the road Bogota-Girardot.
The construction company published a statement on Monday in which it ensures that it has been affected by the rise in the prices of construction materials and services and that this situation has been analyzed since last September 20 when it reached an agreement with the Group VINCI (your partner) to limit its exposure to risk in the Third Rail contract.
“Today there is more detailed information on the economic impact of the transaction in Conconcreto. For this reason, the Board of Directors approved the total assignment of its participation in the Ruta 40 construction consortium, the improvement of which is subject toPrevious conditions such as third-party approvals, as well as was informed”Conconcreto said in the statement.
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The decision to withdraw from the work will represent you a decrease of 248,000 million pesos to the company. However, they argued that they did so to mitigate possible future losses, delays or adverse changes in the construction sector.
“Its counterpart will be reflected in a decrease in the Investment in the Via 40 concession, which today is 50%, leaving with a 15% stake. All this is subject to the formalization of the transaction”, added the company.
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The accounting of this process, said Conconcreto, will be carried out in accordance with the international financial information standards that govern the company.
“With this decision, Conconcreto guarantees compliance with its obligations to third parties and the solidity and liquidity of the company are strengthened,” the company said.
Conconcreto assured that the VINCI group will be the one that will guarantee the successful completion of the Bogotá Girardot Third Rail project.
