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Australia: Queensland sells off $6.6B worth of assets to Transurban

By  |  April 24, 2014

The Australian state of Queensland has inked a deal to offload its toll company Queensland Motorways to a consortium lead by the nation’s largest toll road owner Transurban Group, according to reports.

The divestiture, made for $6.6 billion, is part of an initiative among Australian states to sell assets to fund capital works programs, according to reports. The trend was sparked following New South Wales’ sale of a desalination plant in 2012, made for $2.3 billion.

Transurban was likely attracted to the toll road assets as such infrastructure is in high demand, reports say, due to high barriers to entry in the market and long-run returns.

But according to one unnamed source, the consortium paid a “steep” price tag.

Full Content: Reuters

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