Germany's Hochtief sells airports division to Canada's PSP Investments for $1.4 bn
07 May 2013
German construction major Hochtief AG yesterday sold its airports division to Canada's Public Sector Pension Investment Board (PSP Investments) for €1.1 billion ($1.4 billion), in order to reduce debt.
"The transaction is the result of a very competitive tendering process. We will use the released funds as planned to reduce debt and to invest in the operating infrastructure business. The transaction will further strengthen Hochtief's financial and competitive position," said Marcelino Fernández Verdes, CEO of Hochtief.
Hochtief AirPort is one of the world's leading airport investors and managers with holdings in airports in Athens, Budapest, Düsseldorf, Hamburg, Sydney and Tirana.
These combined airports handle approximately 95 million passengers annually and Hochtief expects to close the deal in the second half of this year.
"Hochtief AirPort is passing into the hands of a long-term and trustworthy investor which will continue to support the airports business in a responsible manner. We have, thus, also achieved our goal of offering a perspective to the employees. We are particularly happy about this," said Peter Sassenfeld, member of the executive board of Hochtief.
Essen-based Hochtief, majority owned by Spanish construction giant ACS, is one of world's leading construction-related services providers with sales of $33.4-billion in 2012 and over 66,000 employees.
The company derives over 85 per cent of its revenue internationally, having presence in all the world's major markets with leading positions in the US, Australia, and the Middle East.