Qatar Holding, the investment arm of the Qatar Investment Authority sovereign wealth fund, agreed to buy a 20% stake in Heathrow airport owner BAA for £900 million ($1.4 billion).
Qatar Holding will acquire a 10.62% stake in FGP Topco, BAA’s parent company, from Ferrovial for £478 million, the Spanish infrastructure company said in a statement Friday. Qatar Holding also agreed to buy a 5.63% stake from Britannia Airport Partners and 3.75% from GIC Special Investments, according to the statement.
“The sale of this stake in BAA is part of Ferrovial’s strategy of establishing a market valuation of our assets and improving the structure of our investment portfolio,” Ferrovial CEO Inigo Meiras said in the statement.
The deal is pending regulatory approval and is expected to be closed by year-end, Ferrovial said.
Qatar Investment Authority, Doha, has about $100 billion in assets under management, according to the Sovereign Wealth Fund Institute.