CPPIB expresses interest in investing US$450 million in Markit's stock offering

TORONTO – Canada Pension Plan Investment Board has expressed an interest in investing up to US$450 million to buy a stake in Markit Ltd., as part of the U.K.-based financial information company’s initial public share offering.

Documents filed with U.S. regulators say the expression of interest isn’t binding but also indicates CPPIB would be able to nominate a director to Markit’s board if it invests a certain amount, which wasn’t specified.

Among other things, Markit produces monthly reports on manufacturing data in various countries and regions including China, Canada and the European Union.

The filing, dated June 3, says Markit generated US$947.9 of revenue in 2013 and US$259.4 million in the first three months of 2014.

The CPPIB, one of Canada’s biggest pension funds, invests money not currently needed by the Canada Pension Plan to pay benefits.

“CPPIB is not commenting on the inclusion of CPPIB in Markit’s prospectus, since it is an indication of interest only, and we only comment on completed transactions,” spokeswoman Linda Sims said in an email Wednesday.