TORONTO – The Canada Pension Plan Investment Board (CPPIB) is spending US$200 million to buy a stake in Hong Kong Broadband Network Ltd.
The board has acquired more than 172 million ordinary shares of HKBN Ltd., which represent an ownership interest of about 17 per cent.
HKBN was founded in 1999 and is the second largest residential broadband service provider by number of subscriptions in Hong Kong.
It owns and operates one of the largest fibre optic networks in Hong Kong, reaching more than 2.1 million residential homes and 1,900 commercial buildings.
The CPPIB invests surplus funds paid into the Canada Pension Plan in public and equities equities, real estate, infrastructure and fixed income instruments.
As of Dec. 31, 2014, the CPP fund totalled $238.8 billion.