Renta 4 | According to press reports, Abertis would be interested in getting its hands on 66.6% of the Chicago Skyway toll road, held by Canadian pension funds CPPIB and Omers. The deal could be worth around 2.5 billion euros.
The concession is 12,6 kms and connects the I-94 and I-90 motorways with an elevated section.
Valuation:
We still need confirmation of the transaction from the Spanish concessionary. However, depending on the price of the deal if finally successful, it is one which would allow Abertis to extend the average life of its assets in operation. In addition, it would also allow for the diversification of its portfolio, without forgetting capitalising on its current cash position of some 4.8 billion euros.
We recall that Abertis’ owners, Atlantia and ACS, have come to an agreement whereby they have committed to injecting capital in order to grow via acquisitions, without damaging the concessionary’s financial discipline and dividend policy. Abertis has historically been characterised by its demanding financial discipline when acquiring new assets. For that reason, we understand that the risk/return ratio on possible purchases is a priori limited.
