GIP’s Gatwick Bid of More Than $2 Billion Said to Be Rejected
1.4 billion-pound bid for Gatwick airport that was rejected by
low, said the people, who declined to be identified because the details aren’t
public. BAA, which also operates London’s Heathrow and Stansted airports, was
seeking at least 1.5 billion pounds, one of the people said.
sell three airports by spring 2011 because it didn’t take account of the "adverse
financial impact" of divesting assets in a recession. BAA, owned by Spanish
builder
after Heathrow.
by Citi Infrastructure Investors was eliminated last week, people familiar with
the situation said at the time. BAA called the offer from Citi Infrastructure
uncompetitive with no assurances on deliverability.
Stansted and either Edinburgh or Glasgow airport in Scotland by spring 2011 in
order to end its market dominance. Ferrovial paid 10.1 billion pounds for BAA
in 2006.
group said on May 13, after it was expelled from the bidding, that it was also
still interested in buying Gatwick and had full funding for the purchase.
Setback for Ferrovial as Gatwick bidder quits
withdrawal of one of its two remaining bidders. The departure of Global Infrastructure
Partners from the current sale process leaves the Spanish infrastructure group
with only one remaining offer, from a consortium led by Manchester Airports Group
and Borealis, the Canadian infrastructure fund. BAA must repay £1bn of its existing
bank debt in March next year. (FT)