MAG Completes £1.5 billion Stansted Purchase

The UK’s Manchester Airports Group (MAG) has completed the purchase of Stansted Airport near London for £1.5billion (US$2.26bn).  As part of the transaction,
Industry Funds Management (IFM) has taken a 35.5% equity interest MAG.
A February 28 statement from MAG said a detailed integration plan would ensure a: “seamless transition” of ownership and operations at Stansted, which will maintain business as usual for passengers and customers.
Charlie Cornish, Chief Executive of MAG, said: “We’re delighted to have added Stansted to our strong portfolio of UK airports.  We aim to help fulfil its potential in the London market and bring more choice to its passengers in the years ahead.  Today [February 28th] represents the achievement of a major strategic ambition for MAG and we look forward to working alongside staff, partners and stakeholders in ensuring the Group’s success.”
Christian Seymour, Head of Infrastructure, Europe, at IFM commented: “We are hugely pleased to complete the acquisition of our stake in MAG and Stansted.  It is a landmark acquisition for IFM, deepening our footprint in the UK, and is the culmination of 18 months’ work developing a strong, long term partnership with MAG.  We look forward to bringing our significant international expertise in the airport sector to the benefit of the group.”
MAG says the funds for the acquisition came from new equity raised from IFM, together with investment grade financing.  All the existing shareholders’ equity has been maintained in the Group.
MAG now handles almost 42 million passengers through its ownership and operation of Manchester, Stansted, East Midlands and Bournemouth airports.
(Photo: BAA))