M.A.G has completed the acquistion of Stansted Airport
Manchester Airport Group (M.A.G) has boosted it’s share of the UK cargo market, following the success of a bid to acquire Stansted Airport for £1.5 billion.
London Stansted Airport, the UK’s third largest freight hub, was purchased from Heathrow Airport Holdings by Manchester Airport Group in collaboration with Australia’s Industry Funds Management (IFM) as a strategic investor.
A statement released by M.A.G also announces the incorporation of, Industry Funds Management (IFM) as an investor in M.A.G, taking a 35.5% interest in the enlarged group, ‘after having worked in close partnership with M.A.G through the acquisition process of Stansted Airport.’
M.A.G has a proven track record in successful airport management as the owner and operator of Manchester, East Midlands and Bournemouth airports. The group now owns the second, third and fourth busiest cargo airports in the UK, and are second only to Heathrow.
IFM has investments in nine airports across Australia, including five major state capital city airports. In the UK, IFM already has significant investments in Anglian Water, the fourth largest water and sewerage company in England and Wales, and Arqiva Limited, the UK’s largest broadcast and wireless communications infrastructure company.
Sir Richard Leese, Leader of Manchester City Council, M.A.G’s current majority shareholder said:
"M.A.G is a key driver of jobs and growth in the North of England and the acquisition of Stansted will help us deliver maximum value for Manchester City Council and the other local authority shareholders."
Charlie Cornish, Chief Executive of M.A.G commented:
“We are delighted to be successful in our bid for Stansted Airport, the London airport for Europe. The transaction represents a significant milestone in the achievement of our previously stated strategy of adding a quality airport to the group and delivering long term value to our shareholders.
“M.A.G has a strong track record of creating shareholder value through strategic investment and enhancing operations to improve customer service and drive increased passenger numbers. We will use that expertise at Stansted to ensure that the airport can fulfil its potential as a high quality alternative London access point for global air travellers. Stansted has scope to benefit from significant volume growth over the short, medium and long term.
“Our bid for Stansted has been under development for well over a year. We have been delighted to work closely with IFM to create a compelling and unique partnership that has been instrumental in providing the capital for this important transaction which sees one of Europe’s largest airport operators now based in Manchester. Today’s announcement is excellent news for M.A.G and our shareholders; it marks the start of a new chapter for the Group.”