Babcock & Brown Infrastructure Group has announced it sold about a 29.7% stake in its European ports business to two outside investors for around A$248.85M
The Sydney-based managed affiliate of Australian investment group Babcock & Brown Ltd said that Antin Infrastructure Partners (associated with BNP Paribas) and Babcock & Brown European Infrastructure Fund will pay E121.5M (AS$248.85M) to acquire 19.9% and 9.8% respectively of BBI Euroports.
BBI managing director Jeff Kendrew said the transaction was in line with the group's emphasis on co-investment and partnering to strengthen its balance sheet. "We look forward to working closely with Antin IP and BBEIF as future partners to support the growth of Euroports as a vibrant and growing business with strong market fundamentals," he said.
The investors have the right to increase their combined interest in BBI Euroports to around 49%. In a filing with the Australian stock exchange, BBI said it is “looking ultimately to sell down to a residual holding of between 25% and 50%.”
BBI Euroports includes WCT Meerhout, Terminal Rinfuse Italia, Manuport, Westerlund, Tarragona Port Services, Rauma Stevedoring and Botnia Shipping. It also owns 50% of SRU Rostock.
PD Ports, which BBI acquired for A$1.2B in 2006, is not included in the sale, and nor is the 22% stake in Forth Ports plc acquired in steps in 2008.
Separately, BBI has been reported to be mulling a sale of up to 49% in Dalrymple Bay Coal Terminal.
