Cintra shareholders continue to protest Ferrovial merger

Minority shareholders in Spanish toll road operator Cintra have continued their opposition to the proposed merger with majority owner Ferrovial, unless the Spanish constructor “vastly improves” the terms. They have agreed to vote against the move at the next shareholders' meeting.

The dissident shareholders — Britain’s Universities Superannuation Scheme; Australia's Magellan Asset Management and CP2; and America’s State of New Jersey Division of Investment — have already written two letters to the board protesting against merging with the “heavily indebted” Ferrovial, which wants access  to Cintra’s healthy cash flows and nearly €400 million in cash reserves.

“The merger proposal originated by Ferrovial is designed to address its immediate financial challenges,” said CP2’s managing director Peter Doherty.