(Reuters) — Singapore sovereign wealth fund GIC has struck a deal with Canadian utility Fortis Inc to buy a 19.9 percent stake in ITC Holdings Corp for $1.23 billion.
In February, Fortis said it would buy U.S. power transmission company ITC for $6.9 billion – its biggest deal ever. It had said it would partly fund the deal by selling up to 19.9 percent of ITC to an investor, which it did not name.
“With the definitive agreement for the sale of 19.9 percent of ITC to GIC, Fortis has completed a significant component of the ITC acquisition financing,” the three companies said in a joint statement on Wednesday.
Scotiabank acted as exclusive financial advisor to Fortis in connection with the ITC minority investor process. Citigroup Global Markets Inc. acted as financial advisor to GIC on the deal.