The Canada Pension Plan Investment Board is acquiring an additional 25 per cent stake in the environmental services division of FCC Servicios Medio Ambiente Holding S.A.U.
The deal will see the CPPIB pay $1.6 billion for the increased interest, which will see it increase its stake to 49.99 per cent.
“Increasing our stake in FCC Enviro deepens our commitment to a proven platform that plays a unique role in advancing the global circular economy,” said James Bryce, managing director and head of infrastructure at the CPPIB, in a press release. “FCC Enviro’s differentiated scale and proven track record provide a compelling foundation for continued growth.”
Read: Caisse backing Quebec software developer, CPPIB investing in Spanish waste management business
A planned takeover of Minnesota Power’s parent company by the CPPIB and a BlackRock Inc. subsidiary has obtained regulatory approval at the state level, according to a report by the Canadian Press.
All five members of the Minnesota Public Utilities Commission voted in favour of the deal, deeming its conditions will protect the public interest and deter rate increases. The deal for Allete Inc. is valued at US$6.2 billion without interest, including the assumption of debt.
In other news, the Caisse de dépôt et placement du Québec is investing in a €671 million corporate financing for Verdalia Bioenergy. The funding round will give the firm the ability to pursue both greenfield and brownfield growth over the next four years, as well as cover biomethane plant construction and acquisitions.
The transaction was completed by a consortium of banks — ING Group N.V., Société Générale, UniCredit, Banco Bilbao Vizcaya Argentaria S.A., Sumitomo Mitsui Banking Corp., Santander Group and Sabadell — and Rivage Investment.