January 11, 2010
WELLINGTON (AFP) - Auckland International Airport announced Monday it was to buy a quarter stake in the operator of Cairns and Mackay airports in Queensland for 132.8 million Australian dollars (123.6 million US).
Auckland International Airport chief executive Simon Moutter said the deal to buy the 24.55 percent share in North Queensland Airports from Westpac Bank would help strengthen links with Asian tourism markets.
"We believe that Asian tourism markets offer the greatest opportunity for volume growth and that one of the keys to growing Asian traffic is improved air services connections," Moutter said.
"Driving more travel demand out of Asia will be crucial to the future growth of both Auckland Airport and the New Zealand tourism sector."
Cairns Airport, Australia's seventh busiest with about 3.7 million passengers annually, focuses on Asian tourism and Mackay's domestic airport offers exposure to the booming Australian resources sector, he said.
Mackay is close to the Bowen Basin, which contains one of the largest coal deposits in the world and is also near the Whitsunday resort islands.
The stake would amount to about five percent of Auckland International Airport's total assets, Moutter said.
The purchase, due to be settled on Wednesday, is conditional on North Queensland Airports obtaining the approval of its financiers.
