Macquarie buys Guangzhou toll road

Macquarie International Infrastructure Fund bought a toll road in southern China for US$537 million, the Financial Times reported. The Australian fund took an 81% stake in the 31 km Hua Nan Expressway in Guangzhou. The road is a major north-south aretery in Guangzhou that connects the city to the industrial and port district of Nansha on the Pearl River. The rest of the shareholders in the road are private owners, who sold a portion of their holdings to Macquarie but will retain 9%. The other shareholder, the Guangzhou municipal government, will hold 10%. The toll road investment is Macquaries largest in Asia, and it is line with a strategy focused on the region. It grew its Asian properties from 8.5% of its total assets at the end of last year to 35.8% currently.