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Balfour Beatty sells further stake in motorway operator Connect Plus to private equity

The FTSE 250-listed infrastructure group said that a 5% stake in Connect Plus had been sold to funds managed by Equitix Investment Management Ltd for £42mln

Balfour Beatty PLC (LON:BBY) shares slipped back on Monday following news it has sold an additional stake in Connect Plus, the operator of the M25 orbital motorway in London.

The FTSE 250-listed infrastructure group said that a 5% stake in Connect Plus had been sold to funds managed by Equitix Investment Management Ltd for £42mln.

READ: Balfour Beatty joint venture secures US$1.95bln Los Angeles International Airport contract

The news comes on the back of a similar sale in December 2017, when Balfour sold a 20% stake in Connect Plus to Dalmore Capital Ltd in two transactions for a total of £165mln.

Following Monday's sale, Balfour now holds a 15% stake in Connect Plus.

READ: Balfour Beatty sells additional stake in Connect Plus

The expected profit for the latest transaction is £22mln, and will go towards paying down borrowings in 2018, the company said.

In afternoon trading, Balfour Beatty shares were down 1.5% at 276.4p, albeit having found gains on Friday following news that a joint venture had won a US$1.95bln contract for the building, financing and managing of an airport transit system at Los Angeles International Airport (LAX).