Sydney airport bid deadline nears

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Bids for the part-privatisation of Sydney International airport are due on June 17, with the government expected to make a final decision within 10 days

A previous attempt to privatise the airport was postponed last September (TRW 26/09/01).

Three bidders have qualified for the shortlist: the Gateway consortium (with Deutsche Bank), ABN-Amro's Connect consortium and the Southern Cross consortium with Macquarie Airports Group. The highest financial offer is expected to secure the 100-year contract to operate the airport.

Foreign ownership will be limited to 49% and the sale is expected to raise bids of around $3bn to $3.5bn for the airport which received a $300m redevelopment before the Sydney Olympics. The new owner will receive the right of first refusal to build Sydney's second airport which is forecast to be necessary within the next ten years.

The Nuance Group controls 70% of the retail space at the airport and recently extended its duty-free contract.