TORONTO, March 31 (Reuters) - Victor Li, co-chairman of
Husky Energy Inc and son of one of Asia's richest men,
has agreed to acquire Reliance Home Comfort, a Canadian provider
of heating and cooling systems, from U.S. investment firm Alinda
Capital Partners for C$2.8 billion ($2.10 billion), Reliance
said on Friday.
Li's acquisition comes through his CKP Canada vehicle, a
unit of Hong Kong property developer Cheung Kong Property
Holdings Ltd. Li is the heir to Hong Kong billionaire
and property tycoon Li Ka-shing.
Barclays was exclusive adviser to Li. Alinda's
advisers were Goldman Sachs and Canadian Imperial Bank of
Commerce. Torys provided Alinda with legal advice.
Reliance provides heating, cooling and water services to
both consumers and businesses. By renting water heaters and
other equipment, Reliance Comfort has a recurring revenue stream
that gives it the qualities of an infrastructure play.
Several U.S. private equity firms also looked at the asset,
according to people familiar with the situation, who spoke on
condition of anonymity because the discussions were private.
Reliance has expanded in recent years. It acquired National
Energy Corp, a provider of water heater and HVAC home services,
for C$505 million from Just Energy Group Inc in 2014.
Along with its own SmartAir line, Reliance offers furnaces
and air conditioners from United Technologies Corp's
Carrier, as well as the Goodman and Amana brands.
Other players in the space include Canadian publicly listed
companies Enercare Inc and Just Energy.
Alinda is one the largest U.S. managers of pension funds for
infrastructure investments. It has about $10 billion of assets
under management. It has invested across the United States,
Canada, the United Kingdom and Germany, according to its
Alinda's current investments include London's Heathrow
Airport and Polish broadcast infrastructure firm Emitel.
($1 = 1.3334 Canadian dollars)
(Editing by Matthew Lewis)