Deal profile | Gadens advises on transfer of Melbourne Yarra Trams franchise from KDR Victoria Pty Ltd to Yarra Journey Makers

Gadens advised on the transfer of the entire Melbourne Yarra Trams franchise from the outgoing franchisee, KDR Victoria Pty Ltd (KDR), a joint venture between Keolis and Downer, to the new franchisee, Yarra Journey Makers (YJM), being a joint venture between John Holland and Transdev.

Melbourne is home to the Melbourne Yarra Trams franchise, the largest tram network in the world with around 500 trams, 1600 stops, 24 routes, more than 250km of double track and over 200 million passenger journeys a year.

Gadens provided comprehensive legal support to KDR in negotiating and executing the transfer of the AUD $6.8 billion, 9-year government franchise contract while ensuring operational continuity. Our team advised on all aspects of the transaction including the review, novation and negotiation of over 600 supplier contracts, the transfer of various assets to the new franchisee, all related intellectual property rights and the key contracts with Head, Transport of Victoria and third parties.

Commenting on the transaction, Lead Partner Clare Miller and Relationship Partner, Kelly Griffiths, said:

“We would like to thank the entire team at Keolis Downer and Yarra Trams for their remarkable stewardship of our city’s world-leading tram network for the past 15 years. The team at Keolis Downer ensured the continued delivery of services through the challenges of the COVID-19 pandemic lock-downs and all of Melbourne is grateful for their leadership and operational integrity”. 

Practice groups: Corporate, Intellectual Property and Technology, Disputes and Investigations, Real Estate and Construction and Banking and Finance.

Key team members: The team was led by Corporate Partner Clare Miller, Keolis Downer Relationship Partner Kelly Griffiths and Intellectual Property and Technology Partner Antoine Pace, who was supported by Raisa Blanco (Special Counsel), Belinda Goh (Senior Associate), Alyssandria Lim (Associate), Kasia Jaruzelska (Senior Associate), Lucy Hardyman (Lawyer), Wen Wong (Lawyer), Luke Brusco (Paralegal), Audrey Leahy (Special Counsel), Georgia Macri (Associate) and Oskar Henderson (Lawyer).