Categories: Chicago

Atlas Arteria Plans to Raise $2.1 Billion For Toll Road Deal

Toll road operator Atlas Arteria Group said on Tuesday it had entered into an agreement to acquire a 66.67% stake in Chicago Skyway for an equity value of $2.01 billion.

Chicago Skyway is a 12.5-km (7.8-mile) toll road that connects the Indiana Toll Road to the Dan Ryan Expressway on Chicago’s South Side, and has 81 years of remaining concession life, the Melbourne-based toll roads operator said.

The deal establishes a partnership between Atlas and Canadian pension fund manager Ontario Teachers’ Pension Plan, which will retain its 33.33% interest in Chicago Skyway. Atlas owns other toll roads in the United States, as well as France and Germany.

Fund manager IFM Investors, which owns a nearly 20% stake in Atlas, in a letter sent on Monday said it would consider all legal options available, including seeking an “accelerated board transition” if Atlas progresses with Chicago Skyway acquisition.

“It is clear that the company does not have the support of its major shareholders, IFM GIF (Global Infrastructure Fund) included, in relation to the pursuit of a large equity-funded acquisition, if that acquisition would be dilutive or otherwise destroy shareholder value,” IFM Investors said in a letter addressed to Atlas Chair Debbie Goodin.

Atlas did not immediately respond to a Reuters request for comment.

Source: Reuters

Jackson Sorbo

Managing editor of the Chicago Morning Star

Recent Posts

Flash Floods Slam Northeast as Storms Trigger Emergencies

Flash flooding swept across parts of the Northeast on Monday evening, as a slow-moving weather front delivered heavy thunderstorms and…

12 hours ago

Chicago Fire Falls 2–1 to San Diego in First-Ever Matchup

Chicago Fire FC endured a narrow 2–1 defeat to San Diego FC on Saturday evening at Soldier Field, despite a…

18 hours ago

Grand Canyon Lodge Destroyed in Wildfire

An aggressive wildfire at Grand Canyon National Park’s North Rim has destroyed the historic Grand Canyon Lodge along with up…

20 hours ago

Floodwaters Rise Again Across Central Texas

Heavy Rain Triggers Second Major Flood Emergency in Central Texas A fresh round of torrential rainfall has triggered widespread flooding…

2 days ago

TSA Ends Shoe Removal Rule at U.S. Airports

For the first time in nearly two decades, air travelers in the United States can keep their shoes on during…

2 days ago

Twins Aim for Sweep Against Cubs in Series Finale

The Minnesota Twins will attempt to complete a three-game sweep of the Chicago Cubs on Thursday afternoon, wrapping up the…

5 days ago