Arjun Infrastructure Partners (AIP) and Fengate Asset Management have completed the takeover of the Canadian service station, ONroute Services Center, from KD Infrastructure, a unit of Kilmer Group, and HMSHost Corporation, along with certain of their affiliates.

ONroute Services Center, founded in 2010, is an operator of a chain of 23 service plazas and rest areas with prime locations along major highways in Ontario. It currently serves more than 40 million customers per year and operates under a 50-year concession agreement with the Province of Ontario. ONroute has the exclusive right to operate commercial service centres with direct access to highways 400 and 401 and has a first right of opportunity to develop commercial service centres with direct access to all non‐tolled 400 series highways in Ontario.

AIP has taken a majority stake in ONroute. Financial details of the deal were not disclosed. 

The sellers are KD Infrastructure L.P. and a Canadian subsidiary of HMSHost Corporation, along with certain of their affiliates. Financial close for the transaction was achieved May 26, 2019, with consent from the Province of Ontario.

Evercore Inc. acted as financial advisor and Blake, Cassels & Graydon LLP acted as Canadian legal advisor to AIP and Fengate, with White & Case LLP providing supplemental legal advice to AIP.