A consortium led by AGF Management Ltd. has acquired the passenger terminal of Toronto’s island airport.
AGF (TSX:AGF.B) said Tuesday that InstarAGF Asset Management Inc. — an independent alternative asset manager that represents a joint venture between Instar Group Inc. and AGF — is leading a group of infrastructure investors in acquiring the passenger terminal at Billy Bishop Toronto City Airport from Porter Aviation Holdings Inc.
InstarAGF contributed approximately $105 million of capital to acquire the terminal with its Essential Infrastructure Fund. The purchase is expected to close in the first half of 2015.
“InstarAGF’s investment in the Billy Bishop airport terminal is consistent with our strategy to deploy capital to initiatives that will deliver growing and sustainable shareholder value,” said Blake Goldring, chairman and CEO of AGF, in a news release.
“The terminal is a compelling asset for InstarAGF’s essential infrastructure fund, and accelerates the development of AGF’s alternatives platform,” he added. “Our alternatives business expands and diversifies AGF’s investment capabilities, and bolsters our product offering for retail, institutional and high net worth clients globally.”
The other members of the consortium include Kilmer Van Nostrand Co. Ltd., Partners Group, and institutional investors which are being advised by J.P. Morgan Asset Management. Nieuport Aviation will manage, operate and maintain the terminal under a long-term lease from Ports Toronto, which owns and operates the airport.