Abertis (ACS) could be interested in acquiring 66.6% of the Chicago Skyway motorway; deal could be worth around €2.5 billion

AbertisAbertis eyes stake in Chicago Skyway

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.

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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.