How the European infrastructure M&A market is changing (White & Case)
A hallmark of the European infrastructure market has been the increased domination of institutional investors in competitive auction processes for core assets such as major international airports and national gas distribution networks. This competitive drive has correspondingly driven down returns. When combined with the increased appetite on the part of Asian investors and Middle Eastern sovereign wealth funds, the European infrastructure marketplace has never been more competitive. The Ontario Teachers’ Pension Plan–led acquisition of London City Airport from Global Infrastructure Partners in March 2016 is just one example in a long line of institutional investor-dominated M&A processes.