Macquarie is close to a multibillion pound deal for stakes in London City, Birmingham and Bristol Airport.
The Australian infrastructure investor is this weekend finalising terms with the Canadian pension fund Ontario Teachers’ Pension Plan (OTPP), according to the Sunday Times.
OTPP owns 25 per cent stake of London City, 27 per cent of Birmingham and 55 per cent of Bristol Airport.
The deal still faces a number of hurdles, however. These include the bankruptcy of Birmingham City Council, which co-owns the airport, in 2023.
Sources cited by the Sunday Times said Macquarie was “close to an agreement” but cautioned there was no certainty the deal would be finalised.
All parties have been approached for comment. Birmingham Airport declined to comment.
Macquarie not the only airport dealmaker
News of a possible deal comes as soaring demand for travel in the post-Covid era increases investor interest in UK airports.
Paris-based Vinci bought a 50.01 per cent stake in Edinburgh Airport in April, while AGS airports, which runs Aberdeen, Glasgow and Southampton, was sold to AviAlliance.
City Airport, the London hub favoured by City executives, reported an uptick in passenger traffic last year from 2.9m to 3.4m. It was granted approval for a significant expansion of capacity last August.
The Sunday Times reported last November that OTPP had held talks to exit its stake in five European airports. These included Copenhagen and Brussels airport, which have both since been sold.
Macquarie’s valuation of the three UK airports has not yet been revealed. OTPP’s entire airport portfolio is valued in excess of £10bn.
