Alexandria University Hospitals PPP Project Legal and contract overview

1
Alexandria University HospitalsPPP
ProjectLegal and contract overview

• Tim Armsby
• Partner, Trowers Hamlins in association with
  Nour Law Office, Cairo
• Investors conference, 18 June 2008

2
Alexandria University Hospitals PPP Project
Legal and contract overview

• Legal regime
• Contract structure
• Risk allocation

3
Alexandria University Hospitals PPP Project
Legal regime

• Tender phase
• Tenders Law (No.89/1998)
• Implementation
• Building Law (No.119/2008)
• Environment Law (No.4/1994)
• General
• Income Tax Law (No.91/2005)
• Labour Law (No.12/2003)
• Companies Law (No.159/1981)

4
Alexandria University Hospitals PPP Project
Contract Structure

• Modelled on UK PFI scheme
• 20 year term
• Based on output specifications
• Availability payment
• Step-in rights for lenders
• FM/Change of Law
• Disputes Arbitration (UNCITRAL rules)
• Egyptian law

5
Alexandria University Hospitals PPP Project
Risk allocation
6
Alexandria University Hospitals PPP Project
Risk allocation