Cape Town - Airports Company South Africa (Acsa) is expanding its global reach.
This week, a consortium it is a part of won a bid for the expansion, maintenance and operation of Brazil’s busiest international airport, Guarulhos in Sao Paolo.
Acsa already operates the Mumbai Airport in India in a similar joint venture.
Acsa, in partnership with Invepar, will now own 51% of the Guarulhos International Airport concession, with another company, Infraero owning the remaining 49%.
Acsa will provide airport management through a technical service agreement.
“In addition, to the investment return on capital contributions, Acsa will be paid airport management fees. The next step is for the consortium partners to finalise the signing of the concession and other related agreements by May 2012. The concession is for a 20 year period,” said Bongani Maseko, Acsa’s Acting Managing Director.
Acsa is under pressure to perform better financially, having reported a loss of R220m in the financial year to end March 2011.The company is also under fire for massive increases in its airport charges.
Acsa insists the current venture will be ring-fenced and will not affect local airport charges.
The contract is part of a $14.2bn revamp of Brazil's major airports awared by the government ahead of the 2013 FIFA Confederations Cup, the Pope’s visit for the World Youth Day in 2013, 2014 FIFA World Cup and 2016 Olympics.
Maseko added: “This is a great opportunity for Acsa as we realise that in order to grow the Acsa business, Acsa has to look beyond South African borders, in particular we focusing on emerging markets India, Brazil and Africa.”
He said the latest step enforces Acsa’s brand and better positions it in the market place as a serious participant in global airport investment and management.