SPECIAL REPORT: ECONOMICS & FINANCE
All systems go! CEO, Luke Bugeja, tells Joe Bates more about Ferrovial Airports’ business strategy and expansion plans that include developing a network of vertiports in the US and UK. What is the appeal of airports to Ferrovial and do the company’s global ambitions burn as brightly today as when it first entered the market in 1998? Our desire to be a key player in the aviation industry remains as strong as it has ever been, although we operate a slightly different business model today and are not primarily focused on operating airports or acquiring equity investments interested in new ones. We are, for example, also increasingly looking at opportunities beyond the airport perimeter fence. Perhaps the best way to sum things up today is to say that Ferrovial Airports integrates all airport management activities in addition to being a world-leading private investor in airports and airport operators. We’ve been part of the aviation ecosystem for more than 20 years, during which time we have invested, developed and operated 33 airports around the world. Our deep understanding of the industry and record of building strong and productive relationships with partners and stakeholders continues to drive our ambitions to expand.
Has the global pandemic forced you to re-evaluate the company’s business strategy and ambitions for the next few years? Not really. There is no denying that the airport industry has faced, and continues to face, one of the most significant challenges in its history. COVID-19 has changed the way we currently travel and is likely to shape the airport, travel and tourism markets for the forseeable future. These are unprecendented times, and the
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circumstances we face are exceptional and will be long lasting, but I remain confident in the recovery powers of aviation. This makes me confident that future opportunities will come along and will far outweigh the challenges that lie ahead. In any case, we have to be flexible and ready to adapt to all future scenarios. So, we need to become even more agile and efficient. As I said before, I am optimistic about the future and potential new business opportunties. Aviation will continue to grow and will remain fundamental for economic development. To keep growing, of course, we have to overcome the difficult challenge of being more sustainable. And that has to be a co-ordinated effort by all stakeholders.
What airport assets does Ferrovial Airports own, operate or have equity stakes in today? Ferrovial Airports concentrates its assets in the United Kingdom where we are the largest shareholder in Heathrow, Glasgow, Aberdeen and Southampton airports. At Heathrow, we own 25% of Heathrow Airport Holdings (HAH). In this consortium, we also work with Qatar Holding LLC, Caisse de dépôt et placement du Québec, GIC Private Limited, Alinda Capital Partners, China Investment Corporation and Universities Superannuation Scheme (USS). We are also part of AGS Airports Limited, which operates Aberdeen, Glasgow and Southampton airports. As Ferrovial Airports, we own a 50% stake in the company, along with Macquarie European Infrastructure Fund 4. Although it is not an airport operator as such, we also have a 49% stake in Facilities Management & Maintenance Company, FMM,
