The Canada Pension Plan Investment Board has invested US$200 million ($253 million) in Hong Kong Broadband Network (HKBN) Limited.
It purchased about 172.4 million shares as part of HKBN’s initial public offering. The investment represents an approximate 17% ownership interest.
Founded in 1999, HKBN Limited is the second largest residential broadband service provider by number of subscriptions in Hong Kong.
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It owns and operates one of the largest fibre optic networks in Hong Kong, reaching more than 2.1 million residential homes and 1,900 commercial buildings.
“This investment fits well with relationship investments’ focus on providing strategic, long-term capital to leading public companies, like HKBN, where CPPIB can participate in the future success of the company and help create greater value through an ongoing partnership,” says Scott Lawrence, CPPIB’s managing director and head of relationship investments.
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