Three Canadian pension funds have signed a deal to buy the company that operates the Chicago Skyway toll road for US$2.8 billion.
The Canada Pension Plan Investment Board, Ontario Municipal Employees Retirement System and Ontario Teachers’ Pension Plan will each hold a one-third stake in Skyway Concession Co. LLC, which runs the toll road under a concession agreement that lasts until 2104.
The Skyway runs 12.5 kilometres and connects the Dan Ryan Expressway to the Indiana Toll Road.
Skyway Concession, owned by Cintra Concesiones de Infraestructuras de Transporte S.A. and Macquarie Atlas Roads and Macquarie Infrastructure Partners, took over operations of the toll road in 2005 under a 99-year deal for US$1.83 billion.
The company is responsible for all operating and maintenance costs of the Skyway, but has the right to all toll and concession revenue.
The deal is subject to regulatory approvals and customary closing conditions.