Public Sector Pension Investment Board will buy 7.51 per cent of the toll road from CPP Investments, paying $2.4 billion upfront plus an undisclosed payment made within 18 months of the deal closing. (The Logic)

Talking point: The deal—PSP’s largest investment in Canada—is one of several transactions announced Thursday involving the 108-kilometre highway. Montreal-based engineering giant AtkinsRéalis Group said it will sell its 6.76 per cent stake for nearly $2.8 billion, with 5.06 per cent going to Spanish construction giant Ferrovial for $2.1 billion and CPP Investments buying the remaining $700-million stake. PSP’s investment comes amid increasing pressure on Canada’s big pension funds to invest more domestically. Highway 407 typically generates over a billion dollars in annual earnings before interest, taxes, depreciation and amortization, and is viewed as an attractive asset for long-term investors like pension funds.