British gov't sells Eurostar for 757.1 mln pounds

The British government announced on Wednesday that it reached an agreement on the sale of its entire interest in cross-channel train operator, Eurostar, to the tune of 757.1 million pounds (about 1.16 billion U.S. dollars).

An Anglo-Canadian consortium has agreed to acquire government's 40 percent stake in Eurostar for 585.1 million pounds.

Eurostar will, once the sale of the government's stake closes, redeem the government's preference share, providing a further 172 million pounds for the exchequer.

The consortium was made up of two companies constituted. One is Canada-based Caisse de dépôt et placement du Québec (CDPQ); the other is Britain's Hermes Infrastructure.

"It's great that we have reached an agreement to sell Britain's shareholding in Eurostar that delivers a fantastic deal for British taxpayers that exceeds expectations," said Chancellor of the Exchequer, George Osborne.

"Investing in the best quality infrastructure for Britain, getting the best value for money for the taxpayer, and tackling our country's debts are key parts of our long term economic plan, and in today's agreement, we are delivering on all three," said Osborne.

Eurostar is one of Europe's leading international high-speed rail operator. Since services began in 1994, it has carried over 150 million passengers, with over 10 million in 2014 alone. (1 pound = 1.53 U.S. dollars) Endit