The State has launched the bidding process for the partial privatization of the airports of Nice and Lyon* with the adoption of the tender documents for these procedures, according to two notices published Thursday in the Official Journal (JO).
The State wants to sell all of the 60% it holds in the companies managing these airports, and “bidders can make themselves known under the conditions provided in the tender documents” until March 24, according to these two notices.
The State is expected to receive a significant payday. The Nice airport presents an attractive annuity profile with its established traffic and business aviation.
Its value (capitalization + debt) is estimated by experts at nearly 1.5 billion euros. It could even rise to 1.8 billion euros if several competitive bids are received, which could drive the price up.
The Chamber of Commerce and Industry (CCI) holds 25% of the capital of these two airports, and local authorities 15% (divided between the region, department, and metropolis).
Except for the Department, which has not expressed its position on the matter and remains free to act, the other shareholders have already communicated that they are not sellers, and therefore their continued presence will effectively constitute a minority blocking stake, important for strategic decisions.
These co-shareholders have been involved in recent months in preparing the tender documents and have secured concessions on certain aspects of the process.
Indeed, the tender documents state that offers will be evaluated in terms of the objectives of attractiveness and economic and tourist development of the territory, in consultation with local public stakeholders who have recently been integrated by the Cannes town hall.
The law specifically requires candidates interested in buying the State’s shares to have “experience as an airport manager or shareholder of an airport management company.”
The choice of acquirers for the two airport platforms should be made this summer, according to consistent sources.
An opening of capital to local economic actors? In this scenario, likely inspired by Christian Estrosi and implemented in the corridors of UPE06, the State would sell its 60% stake in the airport to locally-based actors.
This arrangement would leave control to a kind of consortium made up of local industrialists and foreign companies with interests in France, associated with a technical partner as required by the law.
Why not? In that case, a check for nearly 800 million euros would need to be signed.
Many groups and investment funds specializing in infrastructure have already expressed their interest in participating in the operation.
Bids are expected notably from groups such as the Italian Atlantia (operator of the Rome airport) allied with EDF Invest, the Australian Macquarie, Global Infrastructure Partners, or Industry Funds Management funds. The Spanish infrastructure group Ferrovial is said to have allied, according to reliable sources, with the investment company Meridiam. The French Ardian, in cooperation with Changi Airport Group, is also in the running.
Vinci, Caisse des Dépôts, and Predica, Crédit Agricole’s insurance subsidiary, have formed a consortium to participate in the privatizations.
Aéroports de Paris (ADP) is considering participating only in the bidding process for Nice airport.
