Hochtief AG has entered into an agreement to sell its airport division to the Public Sector Pension Investment Board of Canada. This move stems from the German construction firm's return to focus on building and construction.
The deal includes business interests in airports located in Athens, Greece, Budapest, Hungary, Dusseldorf and Hamburg in Germany and Tirana, Albania. The price is about Eur1.5 billion or US$2 billion, with Hochtief pocketing Eur1.1 billion while other business partners would be partaking of the remaining amount.
This move is the first giant step taken by Chief Executive Officer Marcelino Fernandez Verdez, who took the reins of the firm after its purchase by Spanish majority shareholder Actividades de Construccion & Servicios SA. Verdez is reversing the decades long plan of the construction firm to expand into services. Included in the CEO's plans is to sell off its real estate development arm, facilities and energy management units.
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