(Corrects GIC official’s name after GIC corrects statement)
SINGAPORE, Sept 12 (Reuters) - Singapore’s sovereign fund GIC is joining PSP Investments and Ontario Teachers’ Pension Plan in together investing $700 million in XPO Logistics Inc , the U.S. company said, adding it plans to use proceeds for unspecified acquisitions.
In a statement released in the United States, XPO said the deal will be carried out through the sale of newly issued common stock and preferred stock to the investors, who will hold about 22 percent of XPO after conversion. Greenwich, Connecticut-based XPO, a provider of freight transportation services, has a market value of $1.8 billion.
GIC itself is investing $250 million and will have a 7.5 percent stake, a person familiar with the matter said. In the statement, Lim Kee Chong, GIC’s deputy group chief investment officer, described XPO as set to become “one of the long-term winners in the industry”.
PSP Investments is one of Canada’s largest pension investment managers and Ontario Teachers’ Pension Plan is the largest single-profession plan in Canada. (Reporting by Saeed Azhar and Aradhana Aravindan; Editing by Kenneth Maxwell)