Greece government sold 14 airports to a German company at paltry sum of €1.23 billion ✈😂

This is first privatization carried out by Syriza-led government.


The government gave the final approval to the sale of a long-term operating license for 14 regional airports to German airport operator  Fraport AG▲ , according to a note in the government’s official gazette.

This first privatization deal carried out by the Syriza-led government, was approved by the Greek Government Council for Economic Policy during a meeting on Aug. 13.

Fraport had won the bidding process for a 40-year operating concession of the airports last November, together with a Greek consortium partner, for €1.234 billion ($1.37 billion). But the new Greek government wanted to review the plans.

The approval by the Greek government doesn’t mean that a contract has already been signed.

A Fraport spokesman said on Tuesday that further talks about contract details will be needed. He also said Fraport doesn’t expect the contract to be signed by the end of the year.
“The decision by the Greek government isn’t equivalent to signing the contract, but it is the basis for resuming negotiations” based on previous talks, said the Fraport spokesman. He declined to comment further.
The concession comprises the seven airports of Thessaloniki, Aktio, Chania (Crete), Kavala, Kefalonia, Kerkyra (Corfu) and Zakynthos. The other seven airports are in Rhodes, Kos, Myconos, Mytilene, Samos, Santorini and Skiathos. In 2013, these airports served about 19.1 million passengers.

The concession includes operating, maintaining, managing and expanding the 14 regional airports by 2055, together with its Greek consortium partner Copelouzos Group.
Fraport has said will hold a majority in the consortium and will fully consolidate the Greek operating company once the transaction has been completed.

The Aug. 13 deal was signed by Vice President  Yannis Dragasakis, Finance Minister Euclid Tsakalotos, Economy Minister Giorgos Stathakis and Productive Reconstruction Minister  Panagiotis Skourletis.

A spokeswoman for the European Commission said it has taken note “that the first concrete [privatization] decision was taken” by the Greek government but will wait and see for more details.
Greece is required to privatize more government assets as part of the conditions for a third bailout package. #Greece #Airports #Germany #Europe #Unemployment #TravelAgent #VisaExpert

—Nektaria Stamouli in Athens and Natalia Drozdiak in Brussels contributed to this article