Spanish infrastructure firm Ferrovial and joint-venture partner Macquarie Group are selling the entire shareholding of AGS Airports Holdings, the owner of three major UK airports.
AGS Airports is the parent of Aberdeen and Glasgow airports in Scotland, and Southampton airport on the English south coast.
Under the agreement they will be transferred to AviAlliance, which has interests in Athens, Hamburg, Dusseldorf and San Juan airports. AviAlliance has recently divested its participation in Budapest airport.
Ferrovial and Macquarie each hold 50% of AGS, which was established in 2014.
All three of AGS’s UK airports were among seven formerly run by BAA before the UK competition regulator ordered the company to be broken up.
Ferrovial says the agreement values the entirety of the shareholding at £900 million ($1.15 billion), and says the overall deal represents an enterprise value of £1.53 billion.
It estimates it will recognise a €290 million ($308 million) capital gain from the deal, which it expects will close in the first quarter of next year.
Macquarie says the three airports handle over 10.8 million passengers per year.
Under AGS ownership, it says, Aberdeen has benefited from a £20 million terminal expansion, Southampton’s runway has been extended, and Glasgow has received infrastructure improvement for handling widebody aircraft.
“Following this decade of investment, we are pleased to be passing the baton to AviAlliance to unlock the next phase of growth,” says Macquarie Asset Management’s regional head of infrastructure Martin Bradley.
German-based AviAlliance – which is owned by the Canadian pension investor PSP Investments – says the acquisition of AGS gives the company three airports serving the “attractive” UK travel market.
AviAlliance managing director Gerhard Schroeder says the company will “enable each airport to realise [its] full potential”.
“We are committed to supporting the airports over the long term to expand their route networks, further improve the passenger experience and implement the airports’ sustainability strategy,” he adds.
