Ironically the article does not mention that the Pocahontas toll road was a financial loss for Transurban, and so really TCL has done the state a favor by building a road below cost. The banks will wear the balance of the loss.
The other US asset in operation, the HOV lanes are proving disappointing as well, requiring TCL to invest more equity than expected. Looks like a sweet deal for users. Miles and miles of freeway are upgraded at virtually no cost to the state, and the HOV lanes are also free to use if you have a certain number of people in your car.
TCL has been bending over backwards trying to get some return on investment in the US. But the terms of the contract are outright unfair, and pitted against TCL. A renegotiation to fairer terms is reasonable.
Good journalism usually affords a company a right of reply. There is no indication in the article that Transurban was contacted for comment. Or perhaps it was and the journalist decided it went against his or her prejudicial views relating to these toll road assets.
TCL Price at posting:
$7.31 Sentiment: Hold Disclosure: Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)