Fraport

Greece is to sell its biggest port Piraeus Port Authority to shipping group China COSCO Shipping Corporation, marking the second major privatization for the country since late last year.

German airport operator Fraport has said it will be cautious on passenger growth at its Frankfurt and Antalya airports in 2016 after attacks on tourist destinations dampened demand for travel to places such as Turkey this year. 

Greece will miss its revenue target from asset sales this year due to delays in a 1.2 billion euro airport deal, the head of its privatization agency said on Sept. 2, in a setback to efforts to meet the terms of its new bailout.

Score one for the “power of the media”, or rather, “the power of the high-profile media persona via social media”!

Less than two weeks after noted journalist Hugo Dixon lambasted the state of the (men’s) restroom at the Mykonos airport, Proto Thema returned to the “scene of the crime” over the weekend on the jet-setting Cyclades holiday island.

The Greek Government’s wavering on the concession of the 14 regional airports to a Greek-German joint venture Fraport-Slentel is developing into a major political issue.

The first privatization of the Greek government could be facing problems before it even gets off the ground. German company Fraport, which was officially granted the 14 regional Greek airports Monday, is finding it hard to raise investment funding due to the high risk involved, while the contractor is pressing the Greek government for guarantees regarding the concession.

The Greek government on Aug. 18 approved a 1.23 billion euro ($1.36 billion) deal for Germany's Fraport-Slentel consortium to run 14 regional airports, publishing the decision in its official gazette.

The first privatization of the SYRIZA-ANEL government is a reality, as the concession of 14 Greek regional airports to German Fraport for 1.23bln Euros has been finalized. The Greek government reached the decision upon the recommendation of the Hellenic Republic Asset Development Fund (TAIPED) after the relevant tender ended 3 months ago.

Greece will move rapidly to privatize its ports, regional airports and its power grid operator under a memorandum of understanding (MOU) agreed with its international lenders. 

According to the 29-page MOU, a copy of which was obtained by Reuters, Greek privatization proceeds, excluding bank shares, are expected to total 6.4 billion euros between 2015 and 2017. 

By Vangelis Mandravelis

Finance Minister Yanis Varoufakis expressed his optimism on Thursday in Parliament about the completion of the privatization of the 14 regional airports for which German firm Fraport is the preferred bidder, saying that the process will soon be completed.