(Reuters) — Canadian planemaker Bombardier Inc (BBDb.TO) said Caisse de depot et placement du Quebec, which manages Quebec’s public pension plans, would buy a 30 percent stake in its rail unit for $1.5 billion.
Bombardier said on Thursday the stake sale followed a review of strategic options for Bombardier Transportation, including an initial public offering.
The transaction, which suggests Bombardier has scrapped plans to list Bombardier Transportation, values the unit at $5 billion.
Reuters had reported in October that Bombardier was in talks with Caisse for a possible investment.
The Quebec government said last month that it would inject $1 billion in Bombardier’s struggling C Series jet program.