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BAA sets sights on Ferihegy international airport

British Airports Authority (BAA) has expressed interest in acquiring a stake in Budapest Airport (BA), the company which operates Hungary's Ferihegy international airport. BA is due to be partially privatized later this year.

2005. május 4. szerda, 11:17

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BAA, which operates London's Heathrow airport, said, however, that the 35-year concession for Ferihegy envisaged under current privatization plans is too short. The company added that it would prefer a 99-year concession that would allow it to carry out large-scale investments.

Privatization agency APV recently hired consultancy firm CSFB to prepare a tender package for BA, to be completed in the coming weeks. According to an earlier concept that is now apparently off the agenda, BA would have been lumped together with Hungarian national airline Malev, which is also up for privatization.

The stake to be privatized is expected to be between 50% and 75% with an estimated value of HUF 100-150 billion (USD 536-805 million). Revenues at BA totaled HUF 30 billion last year, while net income was around HUF 10 billion.
More than ten companies are interested in buying BA, according to recent press reports. Potential applicants include Copenhagen Airport CPH International A/S, in addition to German and Spanish investors.

NAPI Online
NAPI Online

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