China sovereign fund takes stake in Heathrow

Worth $725 million, the deal has lowered stake of Ferrovial to 33.7 per cent

air cargo hub China Investment Corporation CIC International European Union Ferrovial Heathrow Airport Holdings London Heathrow airport Qatar

CIC International, a unit of China Investment Corporation, has acquired a 10 per cent stake in Heathrow Airport Holdings (earlier known as BAA) promoter of London Heathrow airport, Europe’s fourth largest air cargo hub. CIC International has paid $725 million (£450 million) for the stake. The deal has lowered stake of Ferrovial, the Spanish construction company that acquired BAA in 2006, to 33.7 per cent.

In August, Qatar’s sovereign wealth fund acquired a 20 per cent stake in Heathrow in a $1.45 billion deal that is still awaiting clearance from European Union regulators.