NEW ZEALAND. Dubai Aerospace Enterprise’s (DAE) proposed purchase of a controlling interest in Auckland International Airport Limited (AIAL) has run into a potential obstacle, following fallout from legal proceedings initiated by Air New Zealand against the airport.
The UAE-based consortium looked set to acquire an interest between 51% and 60% in the AIAL business and become a strategic partner. The deal was unanimously backed by the board of AIAL last month.
But AIAL said today that the deal had hit a snag. DAE, it said, claimed that “recent legal proceedings filed by Air New Zealand seeking judicial review of Auckland Airport’s recent aeronautical pricing process constitute a “˜Prescribed Occurrence’ under the Merger Implementation Agreement (MIA) dated 22 July.
Auckland Airport said it disputed DAE’s claim and said it “does not consider that DAE has grounds to issue such a notice”.
DAE has also claimed that AIAL is in breach of its obligations “by not using its best endeavours to ensure a successful outcome to the proposal.” AIAL also disputes this claim.
The dispute has triggered a five-day “˜good faith consultation period’. If the parties are unable to reach agreement in that time, either may terminate the MIA.
MORE STORIES ON AUCKLAND INTERNATIONAL AIRPORT LIIMITED
All change at Auckland Airport: The Moodie Report Picture Gallery in New Zealand – 27/08/07
International passenger numbers grow by +3.8% at Auckland Airport in July – 22/08/07
Auckland Airport, Adidas and All Blacks – The Smile Train gets triple A-boost – 17/08/07
Auckland Airport gets set for Arrivals shopping extravaganza – 15/08/07
Auckland Airport calls for Expressions of Interest to develop hotel – 14/08/07
