KKR, Skip Capital buy controlling stake in Queensland Airports
Make us a preferred source
Make us a preferred source on Google
The news: The Infrastructure Fund (TIF), State Super and Australian Retirement Trust (ART) have agreed to sell their combined 74.25% stake in regional airport operator Queensland Airports to a consortium comprising global investment firm KKR and the Skip Essential Infrastructure Fund.
The numbers: Queensland Airport's portfolio, comprising Gold Coast, Townsville, Mount Isa and Longreach airports, services travellers across more than 40 domestic and international routes, with nearly 66,700 annual aircraft movements.
The context: The shareholder group of TIF — managed by Macquarie Asset Management (MAM) — State Super and ATR said it has made "significant investments" to upgrade and expand the capacity and customer experience at the airports, contributing to a competitive process and strong outcome for its investors and members, and the local communities served by the transportation assets.
At Gold Coast Airport, more than $500 million has been invested in expansion and improvement initiatives over the past five years. Recent agreements signed with Qantas and Virgin Australia will further support passenger growth across existing and new routes, the shareholder group said, including new connections planned by Qantas to Hamilton and Dunedin, making Gold Coast Airport Australia’s most connected airport to New Zealand.
The group noted that Townsville Airport delivered its busiest year on record with over 1.7 million passengers travelling between July 2023 and June 2024, benefitting from shareholder investments in the airport’s entryway and terminal redevelopment.
What they said: Amanda McMillan, senior managing director at MAM, said: "We are proud to have worked closely with [Queensland Airports] management, on behalf of TIF’s investors, to invest in new facilities and expanded services at the airports, which has benefitted travellers, staff and the communities they serve in Queensland and northern New South Wales".
"As the world’s largest infrastructure manager, MAM has been investing in airports since 2001 and has leveraged the expertise of its global teams to help drive [Queensland Airport]’s growth while generating strong returns for TIF investors," McMillan said.
State Super CEO John Livanas said: "Alongside our partners, we have been proud to have invested in expanding the operations and capabilities of the airports in this portfolio, with Gold Coast Airport becoming the sixth largest in Australia".
"This transaction captures the value we have created for our members, and is an outstanding outcome for our funds," he said.
ART's head of global real assets Michael Weaver said: "As an institutional investor, we’re always looking for opportunities to deliver the best possible outcomes for our members, and the timing of this sale alongside other investors supports that goal".
Queensland Airports CEO Amelia Evans said: "[Queensland Airports] is grateful for the close working relationship we shared with our investment partners TIF, State Super and ART to successfully deliver an exciting vision for the company, and we look forward to continuing to work closely with our long-standing existing investors".
"We are now excited to embark on a new chapter with the Skip Essential Infrastructure Fund and KKR and to work with them to grow our airports in the years ahead," she said.
The source: MAM, State Super and ART media release
