AUSTRALIA/INTERNATIONAL. Macquarie Airports (MAp) announced yesterday that it has agreed to divest its 35.5% interest in Bristol Airport in the UK to Ontario Teachers’ Pension Plan for £128 million (US$212 million).
The sale price represents a -12.7% discount to MAp’s 30 June 2009 valuation of the regional airport and an historic EV/EBITDA multiple above 20x.
 |
“As a result of the two transactions, MAp will receive a net cash inflow of approximately A$120 million (US$105 million)… providing further enhancement to MAp’s capital flexibility“ |
Kerrie Mather CEO Macquarie Airports |
MAp will also acquire a further 3.9% interest in Copenhagen Airports from Ontario Teachers’ Pension Plan, bringing its interest in the Danish airports company to 30.8%. The proposed consideration is DKK570 million. This represents a discount to MAp’s 30 June 2009 valuation of its holding in Copenhagen Airports via its Danish holding company.
MAp Chief Executive Officer Kerrie Mather said: “Bristol Airport was one of MAp’s original investments and has generated an excellent return over the period of our ownership. With the MAp portfolio having grown significantly over the last five years, Bristol now represents just 4% of our portfolio by value, and we feel that our investors are better served deploying our resources elsewhere.
“While Copenhagen Airports has experienced a challenging twelve months, traffic performance has started to benefit from the improving economic environment and new low cost carrier capacity. Pleasingly the airport has recently reached a long term aeronautical charging agreement with airlines, positioning the airport well for growth.
“As a result of the two transactions, MAp will receive a net cash inflow of approximately A$120 million (US$105 million), bringing MAp’s cash reserves to approximately A$900 million (US$789 million) and providing further enhancement to MAp’s capital flexibility.
The transaction is subject to a number of conditions including European Union anti-trust clearance. Completion is anticipated before year end.
MORE STORIES ON MACQUARIE AIRPORTS
Macquarie Airports to become a stand-alone entity – 24/07/09
