The Queensland Investment Corporation (QIC) officially started the A$4-billion-plus sale of Queensland Motorways (QML) on December 26, 2013.
QIC said indicative offers were due by February 7, 2014 with the group hoping to seal the transaction by the end of April 2014. Under the auction process, QIC will shortlist parties after the indicative offer phase, then call for final binding offers to be submitted by mid-April 2014.
The Queensland Investment Corporation (QIC) is a government owned corporation based in Brisbane and, with over $50 billion funds invested across the globe, is Australia's fourth largest funds manager. QIC holds the investment in QML on behalf of the state's Defined Benefit Fund, which funds superannuation obligations for retired workers.
The state Government transferred QML to QIC in May 2011 for a market-value price of A$3.088 billion on an enterprise value basis. Since then the business has been substantially transformed, and has just reached contractual agreement to acquire Brisbane's Clem7 Tunnel for A$618 million, tolling rights for the city's A$1.5 billion Legacy Way tunnel and the A$308 million Go Between bridge.
Transurban is one group that has already expressed an interest in acquiring Queensland Motorways but several other bidders are also likely to emerge.