Macquarie Airports acquires 70% stake in Brussels International Airport

Airline Industry Information, Nov 9, 2004

AIRLINE INDUSTRY INFORMATION-(C)1997-2004 M2 COMMUNICATIONS LTD

The Australian airline group Macquarie Airports has said that it will help fund its purchase of Brussels International Airport in Belgium by issuing USD700m of convertible bonds and new equity.

The stake in the airport was purchased on Monday (8 November) from the Belgian government and private investors for EUR735m by a consortium made up of Macquarie Airports and one of its shareholders, Macquarie Bank. The issue to pay for the purchase will be made up of hybrid securities - bonds convertible into shares in 2010 - which will raise AUD525m and a private placement of new shares worth AUD400m.

Macquarie Airports already owns stakes in Australian and European airports and has an existing market capitalisation of AUD1bn. A spokesperson for Macquarie Airports said that the purchase looks like good value and the company believes that it can do a lot to improve the airport, reports Reuters.

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