After CPPIB's acquisition of Intoll 30% stake in the Toronto toll road 407 ETR, Canada Pension Plan Investment Board is acquiring a 10 % stake from Ferrovial-Cintra.In a filing to the Spanish market regulator, Ferrovial said it will sell its stake for C$894.3 million (€640 million or $875.9 million). The transaction is expected to be completed in less than two months."Our intention is to use the funds from the operation for other projects such as paying down corporate debt," said Inigo Meiras, Ferrovial chief executive.Ferrovial said March it planned to use the proceeds of the stake sale to pay down some of its debt, which tops EUR22 billion.The 108-kilometer 407 ETR toll road is Ferrovial's most important highway concession. A group led by Ferrovial obtained the 99-year concession for 407 ETR in 1999.Ferrovial currently owns 53% of the toll road. CPPIB is finalizing its deal with Intoll Group, which owns a 30% stake in the highway (A$3.44 billion) and SNC-Lavalin Inc. owns the remaining 17%."It's an asset that fits squarely in our infrastructure strategy, and it's a good one, and it's in our backyard, and we understand the market," said André Bourbonnais, senior vice-president, private investments, CPPIB.Last year, the 407 reported revenues of $560-million compared with $548-million for the year ending Dec. 31, 2008, and that is expected to rise. Traffic volume increased 6% during the first half of 2010 compared with the same period in 2009, and on June 30 this year, the 407 ETR set a new traffic volume record when it was used by 454,275 vehicles.The toll road was built in 1997, and leased two years later to a private conglomerate for $3.1-billion. While considered a great opportunity for investors, it criticized as a poor deal for the taxpayers because the Progressive Conservative party that was in power at the time may have underestimated the value of the road, and negotiated poor terms of the lease.Sources:Wall Strett JournalEdmonton JournalReutersFollow us on twitter!