Gold Coast Airport owner Queensland Airports was believed to be close to finalising the sale of a major stake in the business on Wednesday, as AustralianSuper continues to be considered the party firming as the favourite for the contest.
The big question is whether it has lived up to its large price expectations of its owners, with suggestions in recent days that AustralianSuper may have been struggling to get there on price.
Dexus and Skip Capital, which is bidding with Kohlberg Kravis Roberts, were also in the race but are not expected to take out the prize.
Working on the sale has been investment banks Barrenjoey and Macquarie Capital and final bids were received from the three parties on Monday.
AustralianSuper, the country’s largest super fund, is being advised by Bank of America and has a tax advantage in buying the airport stake, being Australian owned.
Dexus lost its bidding partner, GIP earlier on in the race but has still submitted an offer. KKR with Skip Capital are advised by RBC.
Queensland Airports owns regional airports including Gold Coast, Townsville, Mount Isa and Longreach.
After being delayed while structural matters surrounding the airport sale were ironed out, the $1.5bn-plus sale process will see a 74 per cent stake sold.
TIF is a holder of shares in the asset (35.77 per cent), with Perron Investments (24.6 per cent), Australian Retirement Trust (16.89 per cent), Allan Moss (0.82 per cent), Queensland Airport Investments (4.24 per cent), Project Cricket State Super Unit Trust (17.35 per cent), and Lipno Holdings (0.31 per cent).
Earlier, Palisade Investment Partners and French investor Vinci were in the mix, along with Stonepeak, but they fell away.
The airport operator was on the market last year, but the sale was then delayed while structural matters surrounding the transaction were ironed out, and initially, 40 per cent was on offer for more than $1bn.
For the year to June 2023, it generated $169m in revenue and a $32m net profit with seven million total passengers.
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