The Hungarian government is looking to acquire 51 per cent of Budapest Airport’s shares through a state-controlled investment company, with the remaining 49 per cent potentially being purchased by another airport operator, according to reports.
The government has submitted a formal offer to purchase the majority ownership stake of Budapest Airport, as reported by the financial news agency Bloomberg, citing sources familiar with the matter. According to the information obtained by the agency, the Hungarian government would buy 51 per cent of the airport operator through the state investment company, with official negotiations expected to commence with the current owners following this development.
The remaining 49 per cent would be acquired by another airport operating company, representing professional investors. However, the source of the news agency did not disclose the name or nationality of this entity. It is known that the government has been in negotiations for years regarding the repurchase of the airport from its current Canadian, German, and Singaporean owners. In May, Prime Minister Viktor Orbán stated that Qatari investors were also interested in purchasing Budapest Liszt Ferenc International Airport, and the government would welcome them as strategic partners.
Previously, there were discussions of buying out the airport with the participation of Hungarian private investors and major corporations, but despite reportedly advanced negotiations, the transaction was postponed in 2021 citing unfavourable Hungarian and international financial conditions.
The current owners of Budapest Airport have emphasized their view of the airport as a long-term investment, and they have made significant investments in its development in recent years and purportedly plan to continue doing so in the future.
As of now, 55.44 per cent of Budapest Airport Zrt.’s shares are owned by AviAlliance, a German-based company that manages several airports. Another 23.33 per cent belongs to Malton, a subsidiary of the Singaporean state-owned GIC investment fund, and 21.23 per cent is in the hands of Caisse de dépôt et placement du Québec, a Canadian pension fund. AviAlliance is headquartered in Düsseldorf and is owned by the Canadian Public Sector Pension Investment Board (PSP Investments).
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