GMR Sells CEB Airport for US$440 Million

GMR Airports Officials, GMR Megawide Cebu Airport Corporation, Aboitiz InfraCapital, Megawide and the Aboitiz Group during the signing ceremony held on Sept. 2.

5 September 2022

GMR Airports International BV (GAIBV) and Megawide Construction Corp (Megawide) has agreed to sell all rights on the 25 years concession agreement awarded to GMR-Megawide Cebu Airport Corp (GMCAC), the developer and operator of the Mactan Cebu International Airport (MCIA) in a deal valued at close to US$440 million to  Cebu-based company Aboitiz InfraCapital Inc. (Aboitiz), the company announced on Friday.

Megawide and GAIBV "agreed to sell down their existing stakes in GMAC to accommodate the entry of Aboitiz InfraCapital" in a Share Subscription and Transfer Agreement, Megawide told the Philippine Stock Exchange (PSE), in transparency disclosure.

The initial deal involves GMCAC's issuance of primary shares and the transfer of secondary shares from Megawide and GAIBV to Aboitiz InfraCapital amounting to P9.5 billion, from date of exchange, resulting in Aboitiz InfraCapital owning 33 and 1/3 percent minus 1 share stake in GMCAC, the disclosure said.

Subsequently, Megawide and GAIBV will issue another note with an aggregate value of P15.5 Billion, maturing on 30 October 2024, representing the remaining 66 and 2/3% plus 1 share of GMCAC's outstanding capital stock, making the company a complete subsidiary of Aboitiz.