Chinese asset manager Touchstone Capital Partners plans to inject altogether 15 billion euros ($16.8 million) in the undersea tunnel project linking Tallinn in Estonia, and Helsinki in Finland.
Under the deal, Touchstone and Finnish tunnel development company FinEst Bay Area Development have inked a $16.8 billion memorandum of understanding.
Touchstone will maintain a minority stake in FinEst Bay Area, while the majority stake will remain in Finland.
One-third of the agreed-upon financing will come as private equity commitment and two-thirds as debt financing. Touchstone is planning to use Chinese infrastructure project, One Belt One Road, for financing the tunnel.