Shandong HI-Speed Group (SDHS) has been approved to participate in the acquisition of 49.99% equity of Toulouse Airport Company in a joint bid with Hong Kong-based Friedman Pacific Asset Management Ltd.
Both parties will jointly put up HK$10 million to set up a holding company to take over China Airport Synergy Investment Fund (CASIF) in Hong Kong, with SDHS holding 51% of the company through its Singapore subsidiary. SDHS Singapore was established in July 2014 operating in aviation, infrastructure, finance and telecommunications. The parties will acquire the Toulouse Airport stake using a Paris offshoot set up specifically for the deal by CASIF’s wholly-owned subsidiary Qiaohua Ltd.
Toulouse Airport Company had approximately 317 million euros total assets, 120 million euros net assets, 117 million euros operational revenue and 5.3 million euros net profit as of 2013. The French government holds 60% of the airport while the Toulouse Industrial and Commercial Bureau holds 25% and the Toulouse municipal government holds 15%.
Friedman Pacific’s chairman Mike Poon said the company plans to invest in three to five more overseas airports in the next three years. “Besides Europe, we are looking at investing in airports in other regions like Central America and Southeast Asia. The airports in Nice and Lyon will most likely be the next investment targets on our list,” he said. (Translation by David)
