Australian investor to fund MAG’s Stansted bid
MANCHESTER Airport Group has confirmed it has agreed to sell a 35% stake to an Australian investor if it launches a bid for Stansted.
A deal with Industry Funds Management, which TheBusinessDesk.com understands could raise £1bn to fund the acquisition, would mark the airport’s first move out of public control.
At present it is owned by the 10 local authorities of Greater Manchester, with Manchester holding 55% and others 5% each.
Under the terms of the deal Manchester’s stake would drop to 35% and the other nine authorities would share 30%. All 10 have yet to formally approve such a deal.
A statement by the airport said: “In February 2012, MAG confirmed that it was inviting detailed proposals from private investors as part of a strategic review of the business.
“This phase of the review has now been completed with Industry Funds Management (IFM) selected as MAG’s preferred partner.
MAG is continuing to consider opportunities to add a quality airport to the group. An equity investment by IFM will only be triggered by the acquisition of another airport by MAG.”
Last month Stansted’s owner BAA finally agreed to accept a legal ruling forcing it to sell.
MAG’s operating profits increased by 26% to £65.5m last year, on sales of £373.2m, up 8.6%.
