On September 3, 2021, VTB Group and the Government of the Magadan Region signed a concession agreement for the construction of health care facilities, which was drafted by Capital Legal Services associates.

The list of health care facilities to be constructed in Magadan includes the surgery block, a new building of an infectious diseases hospital, two city polyclinics and a children’s centralized polyclinic with a consultation and diagnostics center. The project financing could amount to RUB 30 billion maximum.

The Russian Ministry of the Development of the Russian Far East and Arctic is expected to provide the region subsidies from the federal budget for implementing the project as part of the Far East concession program.

“The project is significant not only as the first project being implemented under the Far East concession scheme. It also stands out because the VTB team and our associates managed to prepare a private concession initiative within very tight timeframes. In June, at the St. Petersburg International Economic Forum, VTB signed an agreement for the development of concession projects in Magadan Region, and by July 13, 2021, we prepared a full set of documents required for making a proposal to enter into a concession agreement,” says Pavel Karpunin, Partner and Head of the Project Finance and Public-Private Partnership practice at Capital Legal Services.

The project was supported by Julia Antipova, Head of the PPP and Project Finance group at the St. Petersburg office, and Anna Persiantceva, Senior Associate.

This material contains a photo from the Magadan Regional Information Server at kolyma.ru.