Ferrovial shares rise following Tennessee highway project clarity

Ferrovial shares rose significantly, at one point increasing by 11%, after the company clarified financial details regarding its I-24 express lanes concession in Tennessee. The company reached an agreement with the Tennessee Department of Transportation (TDOT) through its Drive TN consortium, addressing previous doubts about the project's viability. Total planned payments to TDOT are estimated at $21 billion in present value, with construction-phase payments totaling $7.7 billion between 2027 and 2033.

In its nine-month financial report, Ferrovial recorded an operating profit of €848 million, a 12% year-on-year decrease, while revenues grew 10.8% to €7.402 billion. The company's adjusted EBITDA rose 21.8% to €1.21 billion. CEO Ignacio Madridejos attributed the company's strength to its Highways and Construction divisions, particularly in North America, citing successes in Tennessee and Georgia.

The Tennessee project involves a 50-year concession to design, build, finance, operate, and maintain 26 miles of dynamic toll lanes between Nashville and Murfreesboro, with an estimated construction investment of $9.2 billion. Ferrovial also highlighted progress on the I-285 Express Lanes project in Atlanta, Georgia.