It appears that the sale of London’s Gatwick Airport by BAA has hit troubled times with the two remaining bidders reportedly pulling out.
July 17: It appears that the sale of London’s Gatwick Airport by BAA has hit troubled times with the two remaining bidders reportedly pulling out.
The Independent says that it has been told that both Manchester Airports Group (MAG) and Global Infrastructure Partners (GIP) have walked away, as the £1.5bn asking price is too high. However, a spokesman for BAA is reported to have said that “There are multiple bidders still in the process.”
The sale of up to three of BAA’s main airports was forced by the Competition Commission last year, with Gatwick and Stansted being named and either Glasgow or Edinburgh to be included. BAA had already decided to sell Gatwick before the ruling, but if negotiations prove unsuccessful it could be forced into a sale handled by an independent trustee. BAA had been hoping to raise £1.8bn through the sale before the ‘credit crunch’ bit late last year.