Mundys has been awarded the new concession for the Chacao-Chonchi section of the Ruta 5 motorway in Chile through its subsidiary, Grupo Costanera (in which CPPIB is the second largest shareholder). Grupo Costanera submitted the most competitive bid in the tender process run by the Chilean Ministry of Public Works (MOP). This is the third concession awarded to the Mundys Group in Chile in less than a year, following the award of the Santiago-Los Vilos concession in August 2024, through ViasChile (Abertis), and of the concession for the Temuco-Rio Bueno section of Ruta 5 in March 2025, through Grupo Costanera. The concession for the new section has been awarded for a maximum useful life of 50 years. Following this latest award, our Group’s motorway network in Chile now extends to almost 1,300 km, after taking into account concessions currently under construction, generating EBITDA of over €1 billion.
The 126 km-long Chacao-Chonchi section forms part of Ruta 5, Chile’s backbone, and is located on the island of Chiloé, in the Los Lagos region. It passes through the cities of Chacao, Castro and Chonchi and will link the island with the rest of the mainland once the Chacao link has been completed by Grupo Costanera in 2028. The project supports economic development in the area (fishing and fish farming) and tourism, representing the most important drivers of the island’s economy. Chiloé is one of the country’s best-known tourist destinations, famous for its natural beauty, wooden churches, included in the UNESCO World Heritage List, and the indigenous community and culture of the Huilliche people.
In keeping with the Mundys Group’s commitment to environmental sustainability, the project will include the construction of 7 wildlife crossings to ensure the safety of local fauna and reduce habitat fragmentation. The project will also include a public consultation process and the active involvement of the area’s indigenous communities. This is expected to result in initiatives designed to capitalise on local heritage, including the creation of panoramic viewing points and tourist information centres to enrich the visitor experience and promote local culture.
The infrastructure will also improve connectivity with the Los Ríos and La Araucania regions in southern Chile, together representing over 10% of the country’s total population. The transaction is Grupo Costanera’s second project in the south of the country after the Temuco-Rio Bueno section of motorway, where Mundys is already present after acquiring the adjacent Ruta 5 Rio Bueno – Puerto Montt concession some years ago.
Grupo Costanera will take over operation of the infrastructure in the second half of 2025 and will invest over €700 million over an estimated period of 7 years. This investment will fund increased capacity and improvements in road safety and traffic conditions, and will be delivered thanks to Grupo Costanera’s long-standing, proven experience in the sector.
In parallel, Grupo Costanera, through its subsidiary Costanera Norte, has recently completed two successful bond issues maturing in 2030 and 2038, amounting to a total of approximately €420 million. The issues were 1.7 and 2.0 times oversubscribed, confirming the Mundys Group’s financial strength and attractiveness for institutional investors.
"We are working with our asset companies to develop their industry competitiveness and financial strength, continuing to grow and invest. This new award is further proof of our Group’s ability to create value. We are proud that Chile, a country with a solid and transparent regulatory system, also sees us as a credible and reliable partner, capable of managing complex, long-term infrastructure projects. We will do our utmost, together with Grupo Costanera, to operate and develop the new infrastructure concession awarded to us by the Chilean government with maximum efficiency, paying close attention to the needs of local communities,” said Elisabetta De Bernardi, Mundys’s Chief Asset Management Officer.
For Grupo Costanera’s Chief Executive Officer, Diego Savino, “this project reinforces Grupo Costanera’s growth strategy. Our participation in tenders allows us to expand the company’s footprint in the Los Rios and Los Lagos regions, where we operate two sections of Ruta 5 and where the MOP expects to grant concessions for further projects in the coming years. We know that we can count on the experience of our shareholder, Mundys, and of our construction company, Gesvial.”
