The Canada Pension Plan Investment Board is forming a new joint venture with Dream Asset Management Corp. to acquire nearly $3 billion worth of industrial properties in Canada.
Collectively, the partners of the joint venture have allocated $1.1 billion of equity capital, with $1 billion coming from the CPPIB, which will fund the expected acquisition of industrial assets offering connectivity to population clusters and arterial transport routes, according to a press release.
“The Canadian industrial sector continues to demonstrate resilient demand and meaningful long-term growth drivers, supported by a structurally high need for well-located space as supply chains and logistics continue to evolve,” said Sophie van Oosterom, managing director and head of real estate at the CPPIB, in the release.
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The CPPIB also completed a strategic investment worth US$600 million in Boats Group alongside General Atlantic.
The deal will give the investors a co-control interest in the online boat marketplace company. Boats Group is in the early stages of a digital and artificial intelligence-led evolution, said Sam Blaichman, managing director and head of direct private equity at the CPPIB, in a press release.
“As a long-term investor, we see a compelling opportunity to back a mission-critical platform with strong network effects, a customer-centric business model that delivers clear value to buyers and sellers and significant runway to broaden its offering and expand globally.”
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In other news, the Ontario Municipal Employees’ Retirement System’s infrastructure arm completed a refinancing transaction for its stake in Spain-based energy logistics infrastructure company Exolum.
The deal closed with €770 million in new debt facilities at Borealis Spain Parent B.V., the holding company of the OMERS’ 25 per cent stake in the firm. According to a press release, the offering was oversubscribed.
“The scale, pricing, and the engagement of both bank and private placement lenders in this process demonstrate the strong fundamentals and quality of the Exolum investment, as well as the expertise of our team,” said Michael Hill, executive vice-president and global head at the OMERS Infrastructure, in the release.
The Public Sector Pension Investment Board is forming a long-term strategic partnership with Citrosuco, a Brazil-based integrated orange juice producer.
Following the closing of this transaction, Citrosuco’s shareholder structure will include Grupo Fischer, Votorantim S.A., and PSP Investments. The transaction’s financial details weren’t disclosed.
“We are proud to support Citrosuco as it embarks on its next phase of growth and to help create lasting value alongside like-minded partners,” said Marc Drouin, senior managing director and global head of natural resources at PSP Investments, in a press release.