In June 1995, a newly formed consortium of reputable Philippine companies purchased an 85% stake in ELCL through EDSA LRT Holdings, Inc. (ELHI), a Philippine-registered company. ELHI also formed and owned MRT Development Corporation (MRT DEVCO), which acquired the development and commercial rights to develop the 16-hectare depot site and the 13 stations.[3] MRTC was formed for the purpose of designing, constructing, testing, commissioning, and maintaining the MRT Line 3.
In 1995, ELCL's name was changed to Metro Rail Transit Corporation Ltd. ("Metro Rail"), and ELHI was correspondingly renamed MRT Holdings, Inc in 1999.[4]
Construction of the MRT Line 3 project began on October 15, 1996, with Sumitomo Corp as the main contractor and Mitsubishi Heavy Industries as the civil works sub-contractor. A revised build-lease-transfer agreement was signed on August 7, 1997. An amended turnkey agreement was later signed on September 16, 1997, with a consortium of companies (including Mitsubishi Heavy Industries and Sumitomo Corporation). A separate agreement was signed with ČKD Dopravní Systémy (ČKD Tatra, now part of Siemens AG), the leading builder of trams and light rail vehicles for the Eastern Bloc, on rolling stock. MRTC also retained the services of ICF Kaiser Engineers and Constructors (now Earthtech) to provide program management and technical oversight of the services for the design, construction management, and commissioning.[5]
From September 1995 to March 2002, MRTC oversaw the construction, financing and operational management of the project. JP Morgan and the management team of MRTC negotiated with the support of a team of technical experts and other advisors in arranging project financing totaling US$675.5-million from the Japan Bank for International Cooperation (formerly Japan Export-Import Bank or JEXIM), Investiční a poštovní banka, a consortium of Foreign Currency Deposit Unit (FCDU) banks led by Citibank, Bank of the Philippine Islands, Far East Bank, ING Bank, Metrobank and the Philippine Government under a Sovereign credit basis whose blended all-in financing cost amounted to only 4.72% p.a. over the entire life of the loan facilities. On October 17, 1997, MRTC obtained financial closure of the loans for the project.[2]
On December 10, 1997, a maintenance agreement was signed between MRTC, Sumitomo Corporation, and Mitsubishi Heavy Industries. Under the agreement, the maintenance provider will provide maintenance and repair services for a period of ten years for the MRT Line 3.
On December 15, 1999, the section of the MRT Line 3 from North Avenue to Buendia was inaugurated,[6] with the line being fully operational on July 20, 2000.[2] MRTC was obligated to lease the system to DOTC, who would operate the system, with MRTC providing the maintenance. DOTC was required to make payments of rental fees to MRTC, and these were broken down into several different portions. One significant part was intended to repay the loans taken out to finance the project, in which the loans were fully repaid in 2010.[7]
