Manchester Airports Group Consider Gatwick Purchase
The Manchester Airports Group (MAG) is interested in buying London Gatwick Airport, says the group's chief executive.
Geoff Muirhead said that if current Gatwick owner the British Airports Authority (BAA) is forced to sell the Sussex airport as a result of a competition investigation, it would consider purchasing the site.
Speaking to BBC Radio 4's Today programme, Muirhead said: "We'd be interested in any assets that come up, on the premise that we feel we could improve the performance of the group on the back of it, at a price that was sensible".
As reported extensively by Airport International, BAA is currently the subject of a Competition Commission (CC) inquiry which is investigating the group's ownership of seven UK airports, including Gatwick as well as the two other main London airports, Heathrow and Stansted.
The CC revealed two weeks ago that it's "emerging thinking" is that BAA "may not be serving well the interests of airlines or passengers".
This has prompted speculation that the CC will force BAA to sell one or more of its airports when it presents its final report later this year - and it is rumoured that Gatwick will be prime candidate for sale from the group's portfolio if such a decision was recommended.
MAG Airport Group Own 4 UK Airports
Muirhead acknowledged that funding a purchase for Gatwick would be challenging in the current economic circumstances, saying: "I think the price might reflect the difficulties in the financial markets at the moment, in terms of leveraging these types of acquisitions".
However, Muirhead has previously commented that current financial uncertainties would not put off the airport group from purchasing another airport site.
Last week, he told the Manchester Evening News: "We have a strong track record when it comes to running airports - we have a lot of skilled people who have developed very good relationships with airlines and other partners. The group is interested in acquiring assets that will add value for our shareholders".
It was reported by the same newspaper that MAG would be willing to form a partnership with private equity firms or investors such as Macquarie, an Australian banking group, to fund a purchase.
Manchester Airports Group currently operates Manchester International, East Midlands Airport, Bournemouth and Humberside. The group is privately-owned by ten borough councils in North West England, and in 2007 the group's airports handled over 28 million passengers. Manchester alone handled 22 million, making it the fourth-busiest UK airport in passenger numbers.
Source - Airport International's Aviation Correspondent
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