20-Oct-2009 12:18 PM

London Gatwick Airport reportedly close to GBP1.4 billion sale

UK’s London Gatwick Airport is reportedly close to being sold for approximately GBP1.4 billion to Global Infrastructure Partners (GIP), and may sign an early stage agreement with BAA and Ferrovial in the next few days (Bloomberg/Reuters, 19-Oct-2009). However, Ferrovial is reportedly yet to make a final decision, with price remaining a key issue. GIP and Ferrovial may reportedly bridge the price gap through varying the debt and cash transferred to the airport or through the inclusion of “earn-out” payments, contingent on future performance.