|2012-01-06 - 11:15:00 - DJ Fraport Won't Submit Offer For Spanish Airport Tenders|
DJ Fraport Won't Submit Offer For Spanish Airport Tenders
FRANKFURT (Dow Jones)--German airport operator Fraport AG (FRA.XE) has halted its plan to bid for two Spanish airport tenders, citing the difficult market situation.
"The company doesn't plan to submit an offer for the current Madrid and Barcelona airports tender," spokesman Mike Schweitzer told Dow Jones Newswires Friday.
The tender conditions are difficult in view of the current market situation, he added, but didn't provide details of the tender. However, Fraport Chief Executive Stefan Schulte said last year that the high price envisioned by the Spanish government could discourage bidding.
According to earlier statements, the Spanish government wants to generate at least EUR5.3 billion through the privatization of its two most important airports.
Besides Fraport, a consortium including Siemens AG (SI) had expressed interest in the tender.
In October 2011, Spain extended the deadline for the submission of offers to the end of January 2012, because according to the Finance Ministry, bidders required more time to secure funds.
However, at the moment Fraport is most interested in the privatization of three airports in Brazil and one in Puerto Rico. Generally the company remains interested in European privatization projects in Europe under suitable conditions.
-By Kirsten Bienk, Dow Jones Newswires; +49 (0) 40 3574 3116; firstname.lastname@example.org
(END) Dow Jones Newswires
January 06, 2012 06:15 ET (11:15 GMT)
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