Toll road operator Globalvia has received a €1 billion investment from its pension fund owners as it seeks to boost its 27-project portfolio.
Netherlands-based PGGM, Canada’s OPTrust and the UK pension scheme USS made the investments in proportion with their respective stakes in Globalvia. PGGM owns 40.8 percent, OPTrust 40.3 percent and USS 18.9 percent.
The new funds will be used to acquire both road and rail projects as Globalvia aims to cement its position in the transport infrastructure market.
“Globalvia seeks to incorporate new and stable projects into its portfolio in countries that ensure legal certainty, and is ready to do so with innovative funding solutions,” the firm said.
The trio bought Globalvia from Spanish bank Bankia and construction firm FCC for €420 million in November 2015. The group had also invested €750 million into the Madrid-headquartered company prior to its takeover.
Formed in 2007, Globalvia manages 27 projects across Spain, the US, Portugal, Ireland, Andorra, Mexico, Costa Rica and Chile. The most recent addition to the portfolio was a deal for the Ruta 160 highway in Chile worth a total of €335 million.
The investment by USS is its second into a Spain-based infrastructure group in the space of a week following an increase of its ownership in gas distribution group Redexis. Last month, it also made a debt investment in Yorkshire Water in the UK. The pension fund hired Bob Hewson, Craig McAllister and Rob Brindley in October as it pursues its “continuing shift towards direct investments”.