BAA plans to invest in China's airports
AFX | Mar. 26, 2006
UK airport operator BAA PLC is aiming to invest in the regional airports of mainland China, the Business newspaper reported.
But BAA, which owns Heathrow, Gatwick and Stansted airports, is not considering such plans as a poison pill defence against further approaches from Spanish stalker Grupo Ferrovial SA, which on March 17 made an 8.75 bln stg takeover approach for the UK group. BAA rejected the offer.
Strong prospects of China's aviation market are behind BAA's move. The Chinese passenger market could more than double to about 215 mln passengers by 2014, which means China is set to surpass Japan as Asia's largest airline market, the article said.
The Chinese government's 17.4 bln usd five-year airport upgrade and expansion plans call for the construction of 45 new airports by 2010, it said.