Modalis Infrastructure Partners Inc. share their 'Top 10 news-makers of the month' on airport development around the globe.
Nepal - BWA
Nov 30/17 - Nepal Mulls Over Airport Privatization Options
Private sector participation is reportedly being considered for the operation of Nepal’s Gautam Buddha Airport. Sources say the National Planning Commission has been exploring P3 scenarios with the Asian Development Bank, financier of the airport’s ongoing USD55m upgrade. A feasibility study has been recommended to evaluate privatization options.
Philippines - 4 Regional Airports
Nov 29/17 - Four Regional Philippine Airports Going O&M Route
The Philippine government has announced that it will be bidding out four regional airports (Davao, Iloilo, Bacolod and Laguindingan) in 2018 for private sector operation and maintenance, following feasibility study review. Capital investment will be funded through official development assistance, general appropriations and/or the national budget.
Greece - Crete (greenfield)
Nov 28/17 - New Crete Greenfield Airport to Break Ground in 2018
Despite repeated delays in the tendering and award process, construction on the new Kasteli Airport is set to commence in June 2018. The Indo-Greek joint venture of GMR and GEK-TERNA will be taking on the build at an estimated cost of €480m, with completion targeted for 2023.
Argentina - 33 Airports
Nov 27/17 - Corporación América Retains Argentine Concessions
Quelling speculation on the future of Corporación América’s airport concessions in Argentina, the country’s Transport Minister made a recent public statement advising that “differences we had were remedied after [Corporación América] agreed to structural changes that coincide with our vision” relating to chairmanship of Aeropuertos Argentina 2000.
Thailand - TKT/UTH
Nov 25/17 - Thai Airports to See More Private Sector Participation
Thailand’s Department of Airports is considering the hand-over of management responsibilities for Tak and Udon Thani airports to the Airports of Thailand (AoT). The Thai government owns 70% of AoT, with the remaining 30% held by private sector interests. The move is aimed at improving infrastructure and operational performance at the two airports.
Bangladesh - (greenfield)
Nov 23/17 - AviAlliance Eyes Airport Development in Bangladesh
Germany’s AviAlliance is reported to be pursuing a formation of a partnership with Bangladesh for the development of Bangabandhu International Airport, with the aim of positioning Bangladesh as an aviation hub linking global markets, east and west. Three potential sites are currently under consideration in the districts of Madaripur, Munshiganj and Dhaka.
United States - HPN (1.5m pax/yr)
Nov 20/17 - Local Election Results Cast Doubt on Westchester Deal
Macquarie Infrastructure has emerged as preferred bidder for the rights to manage and develop Westchester County Airport (HPN), edging out the odds-on favorite Oaktree Capital Management. Oaktree made an uncontested offer for HPN late last year totaling USD$111m for a 40-year term. The outcome of recent local elections has cast doubt on the deal, as the Republican incumbent County Executive was unseated by a Democrat challenger opposed to HPN’s privatization
Turkey - SAW (29.6m pax/yr)
Nov 17/17 - Sabiha Gökçen Down-plays Competition Threat
Malaysia Airports Holdings, the sole shareholder ofIstanbul Sabiha Gökçen International Airport’s operating company, is down-playing potential competition impacts from the new Istanbul airport. The initial phase of Istanbul’s third airport is scheduled to open in October 2018 - on full build-out in 2028, it is designed to handle over 150m pax/year.
Brazil - 5 Airports in Sao Paulo State
Nov 14/17 - Voa Consortium Takes Over Five Sao Paulo Airports
The Voa Sao Paulo Consortium has assumed management and operation of five airports in Sao Paulo state, including Campinas Campo dos Amarais, Braganca Paulista, Jundiai and Itanhaem airports. The consortium will invest USD$30m in capital upgrades over the 30-year concession, with USD10.7m in improvements to be made within the first four years of the term.
Paraguay - ASU (~1.0m pax/yr)
Nov 11/17 - Last Ditch Effort Made to Salvage Asunción Concession
The public works ministry of Paraguay has made a last-ditch effort to salvage the US$149m tender process for private investment and operation of Asunción’s Silvio Pettirossi Int’l Airport, petitioning the country’s Comptroller to withdraw its recommendation to terminate the tender. The Comptroller maintains that the omitted prequalification phase was critical to the process, providing unfair advantage Sacyr (Spanish) and Agunsa (Chilean) consortium that immerged as preferred bidder.