Transurban says the Foreign Investment Review Board will not oppose its purchase of a 51 per cent stake in Sydney’s WestConnex motorway.
A consortium led by the ASX-listed toll road operator – and including AustralianSuper, the Canada Pension Plan Investment Board and Abu Dhabi-controlled Tawreed Investments – last week agreed to pay the NSW government $9.3 billion for the majority interest in the new motorway.
“The Australian Government has no objection to the acquisition by Sydney Transport Partners of a 51 per cent equity stake in WestConnex from the NSW Government,” Transurban said on Monday, adding that it still expects the deal to complete late this month.
The toll road giant, which has already been given the green light to proceed by the competition watchdog, is funding its 50 per cent interest in the consortium through a $4.2 billion entitlement offer and $600 million placement to consortium partners AustralianSuper and Tawreed.
AustralianSuper and the Canada Pension Plan Investment Board each have a 20.5 per cent interest in the consortium, while Tawreed owns the remaining nine per cent.
The NSW government will retain a 49 per cent interest in the 33-km road, which has been described as the city’s largest transport project since the Sydney Harbour Bridge was completed in 1932.
Transurban already controls seven of Sydney’s nine existing toll roads but secured Australian Competition and Consumer Commission approval after agreeing to publish traffic data that could help rivals bid for future projects and potentially give taxpayers and motorists a better deal.