GyM Ferrovías has concluded financial closing of the Lima Metro Line 1 expansion project in Peru.

With a total of $316m financing, the company will be able to acquire 20 trains and 39 Alstom cars, as well as carry out upgrade and expansion work for five train stations.

Upgrade work includes electric reinforcement, expansion, and building of additional garages.

"The number of commuters [on the Lima Metro Line] is expected to increase to 500,000 from the current 320,000."

Following the expansion, the capacity of Line 1 is expected to improve significantly. The project will also help improve the frequency of trains at peak hours from six minutes to three minutes as the number of commuters is expected to increase to 500,000 from the current 320,000.

Mizuho Securities USA and Mizuho Bank were involved as structuring agents for the financing. Mizuho Bank was the administrative agent, while Mizuho Bank and Sumitomo Mitsui Banking were mandated lead arrangers.

GyM Ferrovías is a consortium comprising engineering and construction firm Graña y Montero (GyM) and Argentinean train company Ferrovías.