As part of the transaction by which Ferrovial, S.A. sold 10.62% of its stake in BAA’s holding company, FGP Topco Ltd., to Qatar Holding LLC for €607 million, the Caisse de dépôt et placement du Québec (The Caisse) has announced that its stake in BAA will decrease from 21.18% to 15.55%.
The Caisse chose to exercise its tag-along right in order to sell, through subsidiary Britannia Airport Partners LP, 5.63% of its interest in BAA to Qatar Holding: a deal worth £253 million. The overall transaction has seen Qatar Holding acquire a 20% stake in BAA, with the remainder comprising shares of 3.75% coming from Singapore's GIC. The total value of the shares purchased by Qatar Holding is £900 Million.
"The Caisse is taking this opportunity to rebalance and better diversify its infrastructure portfolio while remaining a partner of BAA, a company that owns very high-quality assets including Heathrow Airport, a global air transportation hub", said Normand Provost, Caisse Executive Vice President, Private Equity.
The transaction, which is contingent upon regulatory approval by European competition authorities, should be completed by end-2012.
The Caisse de dépôt et placement du Québec is a financial institution that manages funds primarily for public and private pension and insurance plans. As at December 31, 2011, it held $159 Billion in net assets. As one of Canada’s leading institutional fund managers, the Caisse invests in major financial markets, private equity and real estate.
Spain’s Ferrovial, S.A. is the world's leading private investor in transportation infrastructures, with a workforce of approximately 70,000 employees and operations in more than 15 countries.
Qatar Holding LLC is a global investment house founded by the Qatar Investment Authority and licensed by the Qatar Financial Centre Authority. Qatar Holding invests internationally and locally in strategic private and public equity as well as in other direct investments. It strives to achieve steady long term returns on assets to benefit the State of Qatar and to diversify its economy.
Fasken Martineau acted as legal counsel to the Caisse with a team led from Montreal by Daniel Picotte (corporate) and which included Costa Ragas (corporate), Anabel Quessy (corporate) and Alain Ranger (tax), with the assistance of June Paddock (corporate) and Paul Yerbury (tax) in London.