His Excellency Sulaiman bin Abdullah Al Hamdan, the Minister of Transportation, on 8 June, 2017 signed concession agreements for private sector participation in several Saudi airports.
GIB Capital LLC (GIB Capital), the Lead Financial Advisor to GACA, led a group of specialised advisors comprising Hillbrook Partners as co-financial advisor, Clifford Chance as legal advisor and Mott McDonald as technical advisor to assist with the projects.
"We are privileged to have been associated with these milestone projects and to contribute towards Saudi Vision 2030. GIB has historically played a key role in initiatives related to private sector participation in Saudi Arabia and the region. We look forward to continuing to play a leading role in Saudi capital markets based on our traditional strengths and the strengths of our team,” Abdullah Al Zamil, GIB Capital’s Chairman, said.
The advisors worked with a specialised team from GACA headed by Eng. Tarek Al-Abdul Jabbar to achieve early and efficient closing of the privatisation objectives for the selected airports. Several world-class international operators have now been introduced to the Saudi aviation sector to further improve the quality of services provided to travellers.
"We congratulate GACA on achieving successful closure of a significant number of contracts within a challenging timeframe. These privatisations will result in increased foreign investment in Saudi Arabia and the transfer of skills from some of the best international airport operators to their local partners. We are delighted to have been associated with these landmark projects,” Osamah Shaker, GIB Capital’s Chief Executive Officer said.
Jeddah’s King Abdulaziz International Airport, the largest airport in the Kingdom of Saudi Arabia, will be operated and maintained by a consortium comprising Changi International Airports and Saudi Naval Support Company. Passenger capacity is expected to increase to 49 million per annum in the future.
A Build-Transfer-Operate (BTO) agreement for the development and operation of Taif International Airport was signed with Asyad Holding Group, Consolidated Contractors Company and Munich Airport Company. The capacity of this airport is expected to increase to 5.8 million passengers per annum towards the end of the concession.
A BTO agreement for the development and operation of Prince Nayef bin Abdulaziz Airport was signed with TAV Airports and Al Rajhi Holding Group. Passenger capacity at this airport is expected to increase to 5.5 million passengers per annum towards the end of the concession.
A BTO agreement for the development and operation of Ha'il International Airport was signed with TAV airports and Al Rajhi Holding Group. The new terminal will initially be capable of handling 2 million passengers per annum. This capacity is expected to increase to 3.7 million passengers per annum towards the end of the concession.
Source: CPI Financial