Fraport looking for acquisition targets

Fraport, operator of Germany's Frankfurt Airport, is looking for possible acquisition targets in mature markets, according to the company’s chief financial officer, Reuters reported.

Matthias Zieschang said that before the global financial crisis, Fraport was not able to enter markets in developed countries because prices were very high and had focused instead on emerging markets.

"We now have a new situation," he said, adding infrastructure prices have significantly declined.’

Before the crisis, prices for airports were valued at 25 times the EBITDA but are now at 10 times EBITDA.

"We have liquid assets because money that was planned for expansion could temporarily be used of course also for acquisitions," Zieschang said.

Fraport was able to raise total liquidity of US$8.67 billion as part of its plans to expand Frankfurt Airport. Zieschang said Fraport's available cash stands now at $3.2 billion.
(Source:www.cargonewsasia.com)