Vinci SA accord to acquire control of Gatwick Airport for 2.9 billion pounds as the construction company of France skipped on the chance to add a major London hub to its aviation portfolio. The buying of the 50.01 % pole in the second-busiest single runway airport of the world from a group of investors adding supreme wealth funds from Abu Dhabi and Australia will be financed with pound-denominated dues according to Vinci. Existing shareholder Global Infrastructure Partners will manage the remaining holding.
Along with 45.7 million passengers in 2018, Gatwick is considered the largest airport of a global network in Vinci travel serving Brazil to Sweden. Gatwick has been pressurized for boosting competition from the other airports of London and lost out to Heathrow, the busiest hub of Europe, in a contest for winning the support from the government for the construction of a new runway. Its functions dropped into chaos just before Christmas after spotting the drones around the runway led to a prolonging shutdown.
The 120-year-old engineering company is jerking risks surrounding the looming exit of Britain from the European Union, as the rival airport’s alert demand for air-travel could be marked.
Manchester Airports Group, an operator of rival London Hub Stansted, looks the current Brexit plan cropping passengers numbers over the next five years but does not expect it to pause growth completely. Like Stansted, Gatwick is aiming more long-foul flights.
Bernstein analyst Daniel Roeske said by phone, “ Airports are attractive investments, especially in a world of high volatility, because airport returns can be quite predictable and manageable even if passenger numbers are volatile. In any Brexit scenario, people will still go on holiday. In the long term, it won’t be impacted that much on the leisure side”.