It has been announced that AMP Capital are to acquire Leeds Bradford Airport in a deal reportedly worth £220 million. The deal will involve investors in AMP Capital’s global infrastructure equity platform, which also holds stakes in Australia’s Melbourne and Port Hedland International airports, and owns the UK’s Newcastle Airport.
Leeds Bradford airport (LBA) handles four million passengers annually, and has a varied airline base of low-cost carriers, charter flights and international airlines. With domestic destinations and short-haul international flights as its mainstay business, Leeds Bradford Airport is a handy hub serving a wide area with a catchment of up to 5.3 million people. Almost 3 million people live within an hour of the airport, and the region is one of the fastest-growing currently in the UK.
AMP Capital will own the freehold of the airport and grounds within the deal, and recognise the potential of the airport, its diverse airlines and large catchment area, in addition to the already well-invested infrastructure.
AMP plan to harness these benefits, and enhance performance through strengthening customer service and working closely with local governments and businesses. The company will also look to improve routes development and use extensive airports experience to enhance commercial opportunities.
Simon Ellis, Head of Origination at AMP Capital for Europe said, ‘We believe there is a clear opportunity for performance enhancement through tailoring and improving the customer experience and working collaboratively with our key partners including airlines, government and local businesses. In addition, the airport serves the Yorkshire and the Humber region, one of the fastest-growing regions in the UK with a population growth of 6% since 2001 and there is also potential for further route development.’
There is no further information about when the deal may be concluded, and the investment figure is currently an estimation. We will bring you the facts as we find out more.