Bidders line-up for Brazil airports

A German airport operator is to enter the race to manage three of Brazil's airports.

Fraport, Germany's transport services company and current operator of Frankfurt's International Airport, has signed a memorandum of understanding with infrastructure group EcoRodovias to on the privatisation deals for the Sáo Paulo, Campinas and Brasilia airports. 

According to rumours in the market, Fraport looks set be joined by South Africa's ACSA. Previously, Aeroports de Paris,  Aeropuertos Argentina, Ferrovial and local Brazilian construction firm Odebrecht, together with Fraport, had expressed interest in the concession of Rio’s Galeao airport. GMR is also rumoured to be interested in bidding for the three-airport concessions.
Brazil will offer the airports to the private sector in a bid to to add US$1.6bn to Brazil's economy. 

The three concessions are expected to be followed by deals to privatise Confins International Airport in Belo Horizonte and Rio de Janerio’s Galeão International Airport, as the government does not have the funds to carry out the US$4bn worth of investments it believes are required to modernise Brazil’s five biggest international gateways.