Transurban has reached an agreement to sell a 50% interest in its Transurban Chesapeake assets to AustralianSuper, Canada Pension Plan Investment Board and UniSuper for gross sale proceeds of $2.8 billion, plus a potential earn-out between FY24 and FY26 of up to $93 million.
Transurban Chesapeake comprises Transurban’s Greater Washington Area operational assets which include the 495 Express Lanes, 95 Express Lanes and 395 Express Lanes, as well as three projects in delivery and development (the Fredericksburg Extension, 495 Express Lanes Northern Extension and the Capital Beltway Accord).
This sale introduces strategically aligned partners with a track record of working alongside Transurban in Australia on assets in Queensland and Sydney, with the three funds each bringing significant infrastructure investment experience and relationships to the partnership.
The Transurban Chesapeake partners have exclusive development rights to invest alongside Transurban on future brownfield and greenfield growth opportunities in the Commonwealth of Virginia, State of Maryland and Washington D.C., as well as enhancements to existing concessions.
Transurban Chief Executive Officer, Scott Charlton, said the realisation of the long-held capital strategy would position the North American business for its next stage of growth.
“This transaction realises significant value for security holders while enabling accelerated growth in North America and Australia, where we see a number of opportunities starting to materialise.”
“The Transurban Chesapeake partners are committed to growing alongside Transurban in North America and we look forward to pursuing new opportunities with their financial and strategic support.”