CRBC provides 7 billion CLP shareholder loan to Red Maule for Cauquenes Hospital, Constitución Hospital, and Parral Hospital Projects

Project narrative

On June 6, 2023, China Road and Bridge Corporation (CRBC) signed a loan agreement with Red Maule Concessionaire Company S.A. -- a special purpose vehicle owned by China Road and Bridge Corporation (67%) and Puentes y Calzadas Grupo de Empresas S.A.(33%) -- providing a UF-denominated shareholder loan worth CLP 7,013,508,000 for the Red Maule Concession Project. Borrowing terms are unknown. Then, on July 12, 2023, the loan contract was amended to update the loan amount. However, the precise terms of the adjustment are unknown. Between January 1, 2023, and December 31, 2023, the loan accrued CLP 122,496,000 in interest. Between January 1, 2024, and December 31, 2024, the loan accrued CLP 256,081,000 in interest. The Red Maule Concession Project involves the design, construction, provision of medical equipment/furnishings, and operation of the Cauquenes Hospital, Constitución Hospital, and Parral Hospital. Together, the three hospitals were to provide 368 beds and 9 surgical pavilions. They are located in the Maule region, in the municipalities of Cauquenes, Constitución, and Parral, respectively. The shareholders of the Red Maule Concession Company were awarded the concession for the project on March 27, 2021, by Chile's Ministry of Public Works as part of the Ministry's Second Healthcare Facility Concession Program. The concession is valid for a period of 19 years -- four years of construction and 15 years of operation -- beginning on March 27, 2021. Then, the Red Maule Concession Company was formally incorporated on April 23, 2021, in Santiago, Chile. Puentes y Calzadas Infraestructuras S.L.U. was the contractor responsible for construction. Preliminary construction works began in the second quarter of 2022. Then, on May 19, 2023, the groundbreaking ceremony for the Cauquenes Hospital took place, though construction progress had already reached 11% by the ceremony date. Construction of the Constitución Hospital and Parral Hospital was also in progress as of June 2025. All three hospitals were expected to reach completion during the second half of 2025.