UK Government sells its stake in Eurostar
The UK government has agreed to sell its 40% stake in the high speed rail operator Eurostar for £585.1m to a consortium comprising the fund managers Caisse de dépôt et placement du Québec and Hermes Infrastructure. In addition Eurostar is to redeem the Government’s preference share, providing a further £172m for the exchequer. Since Eurostar services began in 1994, it has carried over 150 million passengers whilst sustaining traffic growth every year for the last decade. Peter Hofbauer, Head of Hermes Infrastructure, said: ‘Eurostar is a high quality asset providing a direct link between the UK and Europe that has historically offered attractive investment characteristics, including long-term stable and predictable cash flows’.