China Investment Corporation (CIC) has again decided to halt selling its 13.8% stake in the Eastlink motorway in Melbourne, two sources familiar with the matter said.

Local media reported in August last year that CIC had appointed Morgan Stanley to conduct a review of options for the stake.

After a period of soft sounding the market, CIC late last year decided to put any sale on hold indefinitely, the sources said.

The reasons included geopolitical uncertainty and unacceptable price indications, one source said without elaborating further.

CIC first looked at selling the stake in early 2019 when it appointed Goldman Sachs.

The sale was halted due to low bidder interest. One factor was concern about likely pre-empts by fellow shareholders, as reported.

The Horizon Roads consortium that ultimately owns the concession was also the subject of a major tax audit by the Australian Tax Office from 2016 that concluded in June 2022.

New Zealand Superannuation Fund started a sale of its 9.9% stake in early 2023, which ultimately led to a sale of a 19.8% stake in 2024 to the Future Fund, managed by QIC, including a 9.9% share held by Nuveen, an arm of the Teachers Insurance and Annuity Association.

Horizon Roads acquired the then-listed ConnectEast Group, the owner of the concession over the 40km toll road, in 2011 for AUD 2bn (USD 1.4bn). The motorway opened on 29 June 2008 and the concession expires on 30 November 2043.

Apart from CIC, the current owners are: Universities Superannuation Scheme, APG Group, Korea National Pension Service, Arbejdsmarkedets Tillægspension, Korean Teachers Credit Union, and the Future Fund, managed by QIC.

CIC did not respond to a request for comment.