Saudi Arabia's Growing Control over Heathrow: A $12bn Deal
Saudi Arabia's sovereign wealth fund, the Public Investment Fund (PIF), and private equity group Ardian are set to become the majority owners of London Heathrow Airport in a $12 billion deal. The PIF and Ardian acquired the shares of infrastructure giant Ferrovial, the former majority owner of Heathrow, in a recent transaction. Under the terms of the shareholder agreement, the PIF and Ardian are obligated to buy the shares of other shareholders at the same valuation. This acquisition is part of Saudi Arabia's strategy to diversify its economy away from oil dependence. Critics raise concerns about Saudi Arabia's growing influence over Western infrastructure.
