March 28, 2019 |
When the Ontario Teachers' Pension Plan made its first investment in infrastructure in Mexico, it decided to do it through a three-way partnership that included a Mexican infrastructure company controlled by billionaire Carlos Slim.
Under the deal, Ontario Teachers’, along with Canada Pension Plan Investment Board (CPPIB), two of Canada’s largest pensions funds, acquired a 49% stake in a subsidiary of Slim’s company, IDEAL, which operates one of the largest toll road concessions in Mexico.
Ontario Teachers’ took a 20% stake and CPPIB bought 29%, with the two investing a combined $1.35 billion in 2016 in the 233-kilometer road that connects several Mexican states and is a link to major trad
Partnering with local players reduces risk, says Dale Burgess, head of the pension fund's infrastructure business