June 19, 2013

China fund buys stake in London's Heathrow Airport

BY: AP Staff Writer NOVEMBER 1, 2012 | MODIFIED: NOVEMBER 1, 2012 AT 1:45 AM
Leave a comment

BEIJING (AP) — The Chinese government's main sovereign wealth fund says it has bought a 10 percent stake in the operator of London's Heathrow Airport, expanding its investments in British infrastructure.

China Investment Corp. gave no financial details Thursday but Ferrovial, the Spanish company that owns 49.99 percent of Heathrow Airport Holdings, said the fund paid other shareholders a total of $725.8 million to acquire its stake.

CIC was created in 2007 to manage a portion of China's multitrillion-dollar foreign reserves in hopes of earning a higher return. Its early investments were mostly small stakes in publicly traded companies to avoid stirring political opposition abroad but the fund has begun making bigger direct investments.

View article comments Leave a comment

More from washingtonexaminer.com

From the Weekly Standard

  • Frack to the Future

    Williston, N.D.

    Read More...
  • Downsize Ike

    The beleaguered Eisenhower Memorial Commission holds its next public gathering later this month, and before its members duck-walk into the hearing room, huddled in a hoplite phalanx against a...

    Read More...
  • The Lesson of Kermit Gosnell

    What was the lesson of the Kermit Gosnell trial? Since the Philadelphia doctor was convicted last month of murdering three born-alive infants, two competing viewpoints have emerged.

    Read More...