Spark New Zealand will sell its remaining 17% stake in mobile towers firm Connexa for NZ$314 million ($181.77 million) to Canadian investment fund Caisse de Depot et Placement du Quebec (CDPQ), the telecom company said on Thursday.
Spark had announced in October its plans to divest its stake in Connexa, at a time when media speculation had emerged the Canadian pension fund, Ontario Teachers’ Pension Plan (OTPP) is looking to offload its shareholding in Connexa as well.
Spark added OTPP, as part of the agreement, will also sell 33% of its 83% shareholding to CDPQ, resulting in both parties, CDPQ and OTPP, having a 50% co-controlling interest in Connexa post-transaction.
The sale is expected to generate a gain of about NZ$70 million in reported EBITDAI for Spark upon completion, the company said.
Under the terms of the deal, Spark will continue to be a key customer of Connexa and will maintain control over the development of its mobile network, it added.
Source: Reuters.com