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Referring to sources close to the preliminary negotiations, Bloomberg claims that a consortium of Hungarians made an offer to the Budapest airport. The three current owners of the Budapest airport are the Singapore Public Investment Fund, GIC, a Canadian pension fund, and AviAlliance, an airport operator, also a Canadian company. According to Bloomberg, the owners still have no plans to sell the airport.
The coronavirus crisis, which has hit the aviation sector particularly hard, has depressed the value of airports, making it cheaper to access the airport now.
Last year, even before the outbreak broke out, the value of the airport was estimated at 3 billion euros.
Budapest airport turnover has grown dynamically in recent years thanks to low-cost airlines, last year Budapest airport revenue increased by 43 percent to 331 million euros. But the company expects a 90 percent drop in sales this year due to the coronavirus.
In addition to Mol, the members of the consortium are Dániel Jellinek, the founder of the Indotek Group, which deals with real estate investments, and one of the richest people in Hungary, according to Bloomberg.
Budapest airport was privatized in 2005, but putting the airport in Hungarian hands would be in line with the Orbán government’s goals, as it is no secret that they like Hungarian ownership in strategic sectors such as energy or infrastructure, for example. The government is already open to aviation this year, buying a 90 percent stake in Sármellék airport.
According to Bloomberg, neither the government, nor the owners, nor the alleged bidders commented on the information. Only AviAlliance has responded by believing in the long-term growth potential of your investment.
It is possible that Mol was known to be trying to diversify its activities from the oil industry, but has not yet indicated an interest in acquiring airports.
(Bloomberg)
Cover photo: MTI Photo / Zoltán Balogh
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