Guangzhou Airport exchanges logistic company assets for airport energy company and hotel assets
Guangzhou Baiyun International Airport announced (28-Nov-2019) the following asset swap with Guangdong Provincial Airport Management Company:
- Guangzhou Baiyun Airport: 51% share in Guangzhou Baiyun International Airport Aviation Logistic Service Company valued at CNY856.8 million (USD121.8 million), with an additional CNY164.3 million (USD23.4 million) cash;
- Guangdong Provincial Airport Management Company: Guangdong Airport Hanghe Energy Company valued at CNY753.6 million (USD107.2 million), Pullman Guangzhou Baiyun Airport Hotel valued at CNY228.0 million (USD32.4 million) and Ausotel Smart Guangzhou Baiyun Airport Hotel valued at CNY39.5 million (USD5.6 million);
- Guangzhou Baiyun Airport will no longer share domestic passenger service revenue with Guangdong Provincial Airport Management Company. The previous arrangement was the airport receives 85% of domestic passenger service revenue while the airport group receives 15%.
The airport stated the transaction will increase operation independence, business and asset integrity, increase profitability and operation capability while reducing related party transactions. The airport logistic company will have larger development space under the Airport Group while it was reaching capacity limit and maximum profitability under the airport management. [more - original PR - Chinese]