Gatwick Airport put up for sale

Posted by admin on 17 September, 2008 under Business news | Be the First to Comment

Gatwick Airport is to be put up for sale by its owner BAA, says BBC Transport Correspondent Tom Symonds.

The move comes four weeks after competition watchdogs said BAA may have to sell three of its UK airports.

Several firms are said to be interested in the UK’s second biggest airport – last week Virgin said it was interested in being part of a buying consortium.

Other potential bidders for Gatwick, valued at £1.8bn by regulators, are said to include MacQuarie and Fraport.

Shake-up

Last week, Virgin Atlantic – half owned by Sir Richard Branson – told the Daily Telegraph it would be interested in being part of a consortium to buy Gatwick Airport.

Its comments came two weeks after the Competition Commission said in an interim ruling that BAA may have to sell three of its UK airports.

Although the Commission does not release its full report until next year, it added that BAA may need to sell two of its three London airports.

BAA ruled out selling Heathrow, which leaves Gatwick and Stansted.

The Civil Aviation Authority has just increased the amount Gatwick – where 35 million passengers passed through in 2007 – can charge in landing fees.

But it is operating on one runway and approaching full capacity.

Our correspondent says it is likely to take months to find a buyer and negotiate the deal.

News reported by The BBC