The procedure for the 20-year extension of the concession agreement of the Athens International Airport “Eleftherios Venizelos” was completed today, with the payment of a total consideration of 1.403 billion euros (including VAT) by the “Athens International Airport SA” (AIA).
The net proceeds for the privatisation programme amount to €1.132 billion, consisting of AIA’s offer of €1.115 billion plus an additional amount of €16.676 million depicting a pro-rata 10.30% per annum rate of return, as from 1 January 2019, as defined in the Extension Agreement between the Hellenic Republic, HRADF and AIA. The total benefit to the Greek State from the extension of the existing Concession Agreement up to 2046 is a multiple of the aforementioned price and is expected to exceed €6 billion.
In parallel, it is anticipated that AIA will make total investments of approximately €2.9 billion, under the current agreement, due to positive global and regional upward passenger and tourism trends that are expected to occur over the expansion period. The additional CAPEX plan is mainly related to the extension of the airport capacity that will gradually increase passenger capacity from 26 million per year to 50 million passengers annually by the end of the concession period and will include terminal extensions, new aircraft parking places, extension of road network, etc.
It is estimated that the further development of the airport as well as the anticipated increase in tourism may result to the creation of approximately 180,000 new direct and indirect jobs across