UPDATE: Hochtief Satisfied With Sales Process Of Airport Stakes
August 17 2011 - 5:24AM
Dow Jones News
German construction company Hochtief AG (HOT.XE) on Wednesday
said it is "very satisfied" with the sales process of its portfolio
of airport stakes, while several people familiar with the matter
said four bidders are still in the running, having placed bids of
up to EUR1.3 billion.
Hochtief's Chief Executive Frank Stieler confirmed in a written
statement that the company had received several offers for its
airport portfolio, but didn't mention how many bidders are in the
process. The deal is expected to close this year, according to
Stieler's statement.
The assets include minority stakes in airports in Athens,
Budapest, Dusseldorf, Hamburg, Sydney and Tirana, Albania.
Two people familiar with the sales process said German airport
operator Fraport AG (FRA.XE) and its bidding partner, Deutsche Bank
AG's (DB) infrastructure fund RREEF, as well as French construction
company Vinci SA (DG.FR) submitted binding offers and have the best
prospects of buying the portfolio.
The parent of Hainan Airlines Co. (600221.SH), China's
fourth-largest airline by revenue, last week said it was bidding
for Hochtief's airport assets.
One person said HNA Group Co.'s bid of about EUR1.3 billion was
one of the highest offers, and added that the fourth bidder is a
consortium comprising Allianz SE's (ALV.XE) investment arm Allianz
Capital Partners and infrastructure fund Global Infrastructure
Partners.
Spokespeople for Fraport, RREEF and Allianz declined to comment
on the information. A Vinci spokesman pointed to a recent statement
from CEO Xavier Huillard that said Vinci would look at the airport
stakes.
This month, the bidders are carrying out due diligence on the
airports that Hochtief holds stakes in, and holding on-site
meetings at the airports, two of the people said.
One of the people added Hochtief might compile a shortlist of
two bidders at the end of this month.
-By Eyk Henning and Natali Schwab, Dow Jones Newswires; +49 69
29725 108; eyk.henning@dowjones.com