PIF buys 10% stake in UK’s Heathrow airport

PIF buys 10% stake in UK’s Heathrow airport

Saudi Arabia’s Public Investment Fund (PIF) will acquire a 10 percent stake in the parent company of London Heathrow, the UK capital’s busiest airport. Spanish infrastructure major Ferrovial will sell its entire 25 percent stake in FGP Topco for £2.37 billion ($3.01 billion), the company said in a statement. Paris-based private equity fund Ardian will buy the […]Saudi Arabia’s Public Investment Fund (PIF) will acquire a 10 percent stake in the parent company of London Heathrow, the UK capital’s busiest airport.

Spanish infrastructure major Ferrovial will sell its entire 25 percent stake in FGP Topco for £2.37 billion ($3.01 billion), the company said in a statement.

Paris-based private equity fund Ardian will buy the remaining 15 percent stake.

The transaction is subject to regulatory conditions and compliance with the right of first offer and full tag-along rights, which may be exercised by the other FGP Topco shareholders.

Other stakeholders include Qatar Investment Authority, Caisse de dépôt et placement du Québec, Singapore’s GIC, Australian Retirement Trust, China Investment Corporation and the Universities Superannuation Scheme, Bloomberg reported. Each of them holds stakes below 13 percent.

Ferrovial purchased an indirect stake of 55.87 percent in Heathrow Airport Holdings in 2006. It sold 10.6 percent to Qatar Holding in 2012, reducing its stake