Canada-based Alberta Investment Management Corporation (AIMCo) has signed an agreement on behalf of a consortium to fully acquire London City Airport.
Financial details of the transaction remain undisclosed. However, media sources reported the investment is estimated to be around £2bn.
Apart from AIMCo, the consortium comprises Ontario Teachers' Pension Plan (OTPP), OMERS and Wren House Infrastructure Management Limited (Wren House), which is an infrastructure investing unit of the Kuwait Investment Authority.
Located in the London Borough of Newham, London City Airport is said to be a highly lucrative infrastructure investment in the UK.
Under the agreement, the consortium is responsible for the long-term ownership and development of the airport.
The consortium aims to enhance the relationships and routes between airlines, improve the airport's customer service, and facilitate new opportunities for both existing and new employees.
The consortium spokesperson said: "London City Airport is a premium infrastructure company, operating in a very attractive market.
"We look forward to working closely with the airport's strong management team to achieve the business's full long-term potential.
"Our investment and support will foster a mutually beneficial relationship between the airport and its airlines, passengers and employees, while ensuring a positive economic impact for all of London and the local community, in particular."
Image: Main terminal building of London City Airport. Photo: courtesy of calflier00.