Ferrovial, recognized worldwide for its experience in infrastructure development and management, has announced an agreement to acquire a substantial stake in Highway 407 ETR, located in the metropolitan area of TorontoThe transaction, structured in two tranches, will allow Ferrovial to increase its stake in this important highway to 48,29%.
The agreement stipulates the initial acquisition of a 3,30% stake, followed by a put and call option for the remaining 1,76% stake, to be exercised within a period of up to 18 months. The exercise price of this option will be adjusted using an agreed-upon formula, taking into account the timing of its exercise.
Simultaneously, AtkinsRealis has agreed to sell its remaining 1,7% stake in 407 ETR to Canada Pension Plan Investment Board (CPP Investments). In addition, Public Sector Pension Investment Board (PSP Investments) will acquire a 7,51% stake in the 407 CPP Investments ETR.
All of these transactions are expected to close during the second quarter of 2025, subject to the completion of the sale of CPP Investments to PSP Investments, as well as other customary closing conditions.
Highway 407 ETR, a 108-kilometer, fully electronic toll road, plays a crucial role in the region's mobility, alleviating congestion on Greater Toronto Area roads. With more than three million weekly users, this highway is a key pillar of the area's transportation infrastructure.
Ferrovial has been a shareholder in 407 ETR since 1999, and this new acquisition reaffirms its long-standing commitment to the highway and the region. The company has established strong relationships and a track record of successful collaboration with its partners on this high-quality asset.
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