IFM fund agrees to buy 63.9% of Associated British Ports

A fund managed by Australia-based IFM Investors has agreed to buy a controlling 63.9% interest in Associated British Ports (ABP), the UK’s largest port operator, gCaptain reported. The agreement, announced on Wednesday, would transfer the holdings of two Canadian pension investors to the IFM-managed fund.

CPP Investments will sell its 33.9% stake, while OMERS will dispose of its 30% holding. The parties did not publish financial terms. According to gCaptain, Bloomberg cited a person familiar with the transaction as saying it valued ABP at about £10 billion ($13.4 billion). That figure represents a reported valuation of the company, rather than a disclosed purchase price for the controlling stake.

ABP runs 19 port facilities around the UK, including Southampton, Immingham and Hull. It handles roughly a quarter of Britain’s seaborne trade, according to gCaptain, and supports the country’s energy industry, including more than half of its offshore wind capacity. Its recent investment programme has included the Immingham Renewable Fuels Terminal, Green Port Hull and the Horizon cruise terminal in Southampton.

The sale would end lengthy periods of ownership for both Canadian investors. OMERS acquired its interest in 2006, and CPP Investments became a shareholder in 2015. Both said the disposal would enable them to realise value from those investments and direct capital towards other opportunities. IFM, whose owners include Australian pension funds and the UK’s Nest pension scheme, manages about £157 billion globally and already invests in ports internationally.

IFM’s global infrastructure head, Kyle Mangini, said the investment would underpin further development of ABP’s facilities and operations. ABP chief executive Henrik L. Pedersen described the agreement as support for the company’s business and long-term plans, saying it would seek further growth with IFM and its remaining shareholders.

Completion is expected in the first half of 2027. The transaction still requires customary shareholder and regulatory clearances, including a national security review.