Ferrovial aims for WDF sale by March, reports claim

Nicole Mezzasalma

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News agency Reuters says Spanish company Ferrovial plans to sell its World Duty Free business by the end of March

BAA’s travel-retail business World Duty Free (WDF) is to be sold by the end of March, according to a Reuters report. A source at the UK airports group, owned by Spanish company Ferrovial, told the news agency that about 15 international parties have expressed interest in acquiring WDF.

WDF managing director Mark Riches told DFNI last month that information documents would be sent out to interested parties after they signed confidentiality agreements. RavenFox.com understands that the documents has been sent to several travel retailers as well as private equity firms. The deadline for initial bids from companies hoping to engage in the next stage of the process is January 14.

The duration of the contract—which covers about 65 outlets in seven UK airports—is 12 years, with an option to extend for up to three years. As reported previously, Ferrovial is seeking minimum annual guarantees to the value of about 31% of forecast gross sales.

Analysts have valued WDF at about €600m ($879m).