Allianz, Borealis Eye London City Airport - Report

August 30, 2015

German insurer Allianz has joined Borealis Infrastructure, which manages investments for Canada's Ontario Municipal Employees Retirement Systems, to explore a bid for London City Airport, according to a person familiar with the process.

"Allianz is looking at a bid for the City Airport, and they know Borealis very well from other bids so it's a logical step for teaming up here", the person told Reuters news agency.

The Telegraph newspaper earlier this month said that another Canadian pension fund, Ontario Teachers' Pension Plan, has partnered with the sovereign wealth fund of Kuwait and Hermes Investment Management to submit an offer for the airport.

Australia's Macquarie Group is also thought to be looking at a consortium bid, the newspaper has reported.

Earlier this month, London City Airport's owners picked Credit Suisse to advise them on a potential sale, which could value the business at up to GBP£2 billion (USD$3.08 billion).

The airport is majority-owned by US fund Global Infrastructure Partners, which said a few weeks ago that the airport could be sold this year.

(Reuters)