Prague airport for sale for three billion dollars
2007-02-04

Nations Hungary City Prague Types Airports

Several international companies are reportedly eyeing the possible purchase of Prague airport, for a price that could reach some three billion dollars (2.3 billion euros).

According to the Czech weekly Tyden the privatisation of the Prague-Ruzyne airport has attracted the interest of Hochtief Airport, a subsidiary of Hochtief, the leader in the German building industry; another German firm Fraport, which runs Frankfurt airport; the Australain Macquarie Bank; Czech investment group PPF; and Slovakian investors Penta and JT.

"It is an interesting opportunity for us," Hochtief Airport spokeswoman Donatella Gasser told the magazine. "Prague airport has great potential."

"We are major airport investors and that is why we examine all the possibilities that come up around the world," Macquarie spokeswoman Alison Jefferis was quoted as saying.

Wolfgang Schwalm of Fraport would only say that his firm was looking for "a transaction in the European space."

The state-owned Letiste Praha (Prague airport) is due to be turned into a shareholder company this year with a view to its privatisation, planned during the next two years, after a government decision last year.

The airport has been expanding in recent years and handled a record 11.5 million passengers in 2006.

Its new terminal Nord-2 was inaugurated in January 2006 and should raise theoretical capacity to 20 million passengers a year, with that figure reached in 2020.

But a new runway would have to be built to add to the two that exist if the target is to be reached. Problems over land purchases have stalled the plans for the moment.