Canadian Pension Plan Buys UK's Biggest Port Operator

[tay]

Associated British Ports, the UK's biggest port operator, will see new owners docking after a third of the business was sold for £1.6bn to Hermes and Canada's Pension Plan Investment Board.


The deal marks the second multi-million pound infrastructure purchase by Hermes and a Canadian investor this month, after it sealed a deal to buy the UK Government's stake in Eurostar for £750m at the start of March.



Hermes, which is owned by the BT pension scheme, and its Canadian partner are buying the 30pc stake from Goldman Sachs Infrastructure Partners and InfraCapital, a Prudential subsidiary.



The deal is expected to close by the summer and includes an option to buy a further 3.3pc.



Hermes and CPPIB saw off competition from Malaysia’s sovereign wealth fund, Dutch pensions investor APG and Korea’s national pension service. A third consortim featuring Abu Dhabi Investment Authority and 3i Infrastructure were also vying to take control of the ports in an auction process that began last year.



It is understood that Hermes and CPP entered exclusive negotiations last Thursday and worked on the finer points of the deal over the weekend.




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Associated British Ports stake sold for £1.6bn - Telegraph

 

[darkbeaver]

CPP got stiffed, take a look at the Baltic Dry Index. ports need shipping well there goes a big chunk of pensions

 

[DaSleeper]

Canada didn't learn anything from the submarine deal a few years back?

 

[darkbeaver]

The subs were expected to submerge the port was not expected to go under, at least not by the idiots who bought into it.