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TAV eyes third airport investment in EX-YU

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Turkey's TAV Airports Holding, which has become a global brand in airport construction projects and operations, has identified its third potential investment in the former Yugoslavia following Macedonia (Skopje and Ohrid) and Zagreb. The company held talks in with the Montenegrin Minister for Transportation and Maritime Affairs, Osman Nurković, in Skopje yesterday where they discussed the planned privatisation of the country's two airports - Podgorica and Tivat. TAV Airports' Business Development Coordinator, Giray Colpan, and TAV Macedonia Board Member, Zoran Krstevski, plan to visit Montenegro where they will examine in further detail suitable concession models with the government. Montenegro previously outlined plans to put its two international airports up for concession after it was unable secure a loan with the European Bank for Reconstruction and Development (EBRD) for the expansion of Tivat Airport. "We are currently working on preparing a concession model with the World Bank and I believe this process will be completed swiftly", Montenegro's Prime Minister, Duško Marković, said. He added that the concession is vital in order for Tivat Airport to follow through with its plans to build a new passenger terminal, extend its runway and overhaul its taxiways.

During its talks with the Minister, TAV noted that, "Skopje Airport was handling some 600.000 passengers prior to its takeover and had links to twelve destinations. We now welcome almost two million passengers per year, offering 37 destinations to travellers. The annual growth rate is 15%". Mr Nurković said he was impressed with the results TAV has managed to achieve in Skopje since winning a thirty-year concession of the airport in 2012. It has since invested 110 million euros in Skopje Airport and a further ten million in Ohrid. TAV also holds a singificnt share in the consortium running Zagreb Airport, which earlier this year opened a new terminal building. The French Aéroports de Paris holds a 38% stake in TAV. The Turkish company runs seventeen airports around the world, including Istanbul's Ataturk.

Montenegro's opposition parties have slammed the government's concession plans, noting that operator Airports of Montenegro is one of the country's most profitable public enterprises. It recorded a net profit of 4.3 million euros last year, despite debt of 19.2 million euros towards it owed by Montenegro Airlines. The government is yet to decide whether both Podgorica and Tivat will be offered to an investor as part of a package or whether the two will be put on the market separately. Other details are also being determined. Turkish companies have shown strong interest in airport investments in the former Yugoslavia. Apart from Skopje, Ohrid and Zagreb, which are managed solely or partially by TAV, Pristina Airport is run by Turkey's Limak Holding, while IC Altyapi is bidding as part of a consortium with Incheon International Airport Corporation and VTB Capital for the 25-year concession of Belgrade Airport.
October 18, 2017
Feature montenegro podgorica Privatisation tivat
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Comments

Anonymous said…
Anyone know how the MNE minister reached Skopje? Was it through Belgrade?
09:01
Anonymous said…
Airports of Montenegro is one of the most profitable companies in Crna Gora. Why would you sell it?
09:04
Anonymous said…
I was against airport privatization but after I read yesterday that they are using airport profit to take out loans for MGX I fully support getting the airports of state hands.
09:06
Anonymous said…
They do realize that when they sell the airport the new owners won't turn a blind eye towards MGX?
09:07
Anonymous said…
Government jet I would assume.
09:08
Anonymous said…
Good. If TAV did something similar in Podgorica to what they did in Skopje, that would be amazing
09:08
Anonymous said…
Making it a Wizz Air base?
09:11
Anonymous said…
Would have preferred if they took over Ljubljana as well.
09:12
Anonymous said…
Because they need the money to cover losses of unprofitable state companies like Montenegro Airlines
09:14
Anonymous said…
Why not? I would be more than happy with that.
09:15
Anonymous said…
Podgorica will be hitting a million passengers soon. It needs to expand. The terminal is small.
09:15
Anonymous said…
Interesting. Maybe they get Podgorica and Tivat and are obliged to complete the Berane Airport project too. If I am not mistaken TAV has to build a cargo airport in Stip in Macedonia under the concession agreement.
09:17
Anonymous said…
Agree. Maybe some new airlines would have come. Fraport has been a letdown so far.
09:20
Anonymous said…
Not a surprise. TAV is not managing Istanbul's new airport and they will for sure look to expand their international portfolio to compensate for it.
09:20
Anonymous said…
Yes! This summer was horrible with big lines forming in front of the airport and people standing in 40C heat.
09:20
Anonymous said…
Summer 2017 at TGD
https://scontent-vie1-1.xx.fbcdn.net/v/t31.0-8/20626479_876357309178944_2785982860676471433_o.jpg?oh=064fce8079b2c979fc6a069a471e57b5&oe=5A713215
09:21
Anonymous said…
The only state-owned company that is profitable, but nevertheless, it needs to be privatized.
09:22
Anonymous said…
show me where they invested 10mio in Ohrid Airport ^^
09:25
Anonymous said…
They have just expanded into Central America and are building Havana Airport's new terminal.
09:25
Anonymous said…
So another one bites the dust. Now we have under concession or privatization Zagreb, Ljubljana, Skopje, Pristina, Maribor, Portoroz, Ohrid and soon Belgrade.
09:26
Anonymous said…
Similar to Split ;)
09:28
Anonymous said…
Did they upgrade the terminal?
09:29
Anonymous said…
Sarajevo, Dubrovnik and Split will be the only bigger airports left without a concession.
09:29
Anonymous said…
What will happen with Ataturk Airport when the new one in Istanbul is opened?
09:32
Anonymous said…
Sad really
09:32
Anonymous said…
think these two airports have a lot of potential but Tivat can no longer grow without a new terminal. A real shame we won't see any construction there any time soon.
09:33
Anonymous said…
ma jok
09:35
Rodney Marinkovic said…
Are Turkish investing 10 milion euros in Morava regional airport?. After visit Turkish President and couple hundreds businesman to Serbia. According to media Morava will be finaly open!
Let hope to be true.
Rodney, Kraljevo.
09:35
Anonymous said…
Why sad? Dubrovnik and Split can manage on their own, especially Dubrovnik.
09:35
Anonymous said…
Wizz success in SKP has nothing to do with TAV
09:36
Anonymous said…
This would be fantastic for Podgorica and Tivat. TAV has proven itself as a good operator in Macedonia.
09:37
Anonymous said…
It is sad only for the corrupt ruling party of Montenegro which has been in power since WW2 under different names
09:37
Anonymous said…
What's interesting that in Podgorica you can't clear immigration until about an hour before your flight.
09:38
Anonymous said…
Yes they are
09:40
Anonymous said…
TAV in Montenegro would be a disaster
09:41
Anonymous said…
They will follow eventually
09:41
Anonymous said…
Tivat is a mess during the summer. Expansion is long overdue.
09:42
Anonymous said…
Svako bi mogao da bude selektor ili menjadjer ajeroporta.
09:44
Anonymous said…
Samo brukaju Srbiju. Tadic i Vucic.
09:45
Anonymous said…
Because the area after passport control is limited. That's why.
09:45
Anonymous said…
Very interesting to see what all of this will mean for Montenegro Airlines.
09:51
Anonymous said…
yes, they have that obligation. I think it's time fpr a court session
09:58
Anonymous said…
Unfortunately, it is now unrealistic for them to start until 2018 and by the time they finish it will be 2020.
09:58
Anonymous said…
What is the annual capacity at TGD?
10:01
Anonymous said…
So we have French, Chinese, Turks and Germans running airports in ex-Yu.
10:01
Anonymous said…
They will actually have to pay off their debts and airport fees.
10:02
Anonymous said…
Good news for Montenegro. These airports should definitely get a professional management.
10:06
Anonymous said…
By conditions that were in Dubrovnik every airport, Zagreb including, could manage on their own. But Matković was fired because he insist to have same model as Dubrovnik instead of concession.
10:07
Anonymous said…
With what exactly?
10:08
Anonymous said…
What price could they get?
10:08
Alen Šćuric Purger said…
Dakle, danas sam dobio izmjene ugovora o koncesiji ZL Zagreb iz prosinca 2013. I krenuh čitati. Auuuu....

Članak 2.1.c
Nadalje, Davatelj koncesije dodjeljuje Koncesionaru ekskluzivno pravo korištenja i
ostvarivanja koristi od Zemljišta, cjelokupne Nepokretne imovine (uključujući Objekte zračne
luke i sve uzletno/sletne staze, staze za vožnju zrakoplova i stajanke, ali isključujući Objekte
Davatelja koncesije) koja se nalazi ili će se nalaziti na Zemljištu, kao i cjelokupnu Pokretnu
imovinu koja se nalazi na Zemljištu, u svakom slučaju za trajanja Razdoblja koncesije, ali pod
uvjetima iz ugovora između Društva ZLZ d.o.o. i Vladinog Ministarstva obrane u vezi sa
zajedničkim korištenjem Zračne luke Zagreb od strane vojske Republike kao i bilo kojeg
ugovora koji je sljednik tog ugovora.

Što će reči i USS je pod koncesionarom. Koliko ja znam u svijetu se pod koncesiju daje sve osim USS koja ostaje državi.

Članci 4.4. do 4.6. definiraju da koncesionar ima pravo na neplačanje koncesijske naknade u slučaju
- više sile
- stečaja Croatie Airlines
- smanjenja broj letova Croatie Airlines
- bilo kojeg slučaja u kojem pad prometa MZLZ padne za 30% u roku od 3 mjeseca uzstopno unutar 12 mjeseci u usporedbi sa prošlom godinom neovisno o razlogu (to zovu "otežavajuća okolnost")

U članku 4.9. ako Croatia airlines ne plati i jedan račun prema MZLZ ona ima nekoliko modaliteta svoje zaštite:
- naplatu bankarske garancije koji je Država pribavila od neke banke ili financijske institucije u visini od 2 milijuna EUR
- naplatu 1 milijuna EUR iz kapitala MZLZ (mislim da je to onaj garantni iznos koji su morali uplatiti)
- a može se naplatiti i iz fiksne i varijabilne koncesijske naknade (odgoda plačanja)
- sve ovo presaje vrijediti ako Država proda večinsko vlasništvo nad Croatiom Airlines - PAZI MOLIM TE ČUDA!!!! Naravno, treba motivirati državu da proda Croatiu

...nastavak slijedi...
10:09
Anonymous said…
Depends on the period they are given up for concession and what investment is required.
10:10
Anonymous said…
What are the passenger results for Podgorica and Tivat airports this year?
10:10
Anonymous said…
With state money, what else?
10:12
Anonymous said…
http://www.exyuaviation.com/2017/09/ex-yu-airports-handle-over-17-million.html
10:12
Anonymous said…
And since then Tivat has surpassed 1 million http://www.exyuaviation.com/2017/09/tivat-airport-handles-millionth.html
10:15
Anonymous said…
Remember that the model hasn't been chosen yet. They could decide on an outright privatisation like Ljubljana.
10:16
Anonymous said…
Haven't you read the news from yesterday? The government said it will continue to back Montenegro Airlines financially so no worries.
10:16
Anonymous said…
Regarding the profitability of Montenegro airports, I honestly would not be surprised if they falsified their financial reports like Montenegro Airlines did for years
10:19
Anonymous said…
Does anyone have any info about the original plans for Stip? Any progress or is it shelved?
10:21
Anonymous said…
I agree with other here that Podgorica will need to expand. There are already a number of new airlines launching flights this winter and next summer and more announcements are to come.
10:22
Anonymous said…
Wow fantastic results for Tivat and Podgorica!!!
10:22
Michael said…
Whatever they do, they should do it properly through a tender and by collecting all the bids from interested parties. Who knows what other offers they might get, the Montenegrin airports have been performing impressively.
In terms of just pax numbers growth Skopje is No.1 in ex-yu over the past 5 years. Then Split. And then either Tivat, or Dubrovnik, not sure.
10:25
Anonymous said…
Even that is optimistic. I doubt construction can start before 2019.
10:26
Anonymous said…
Is that the Podgorica Airport in the photo?
10:32
Anonymous said…
Do you know which ones?
10:32
Anonymous said…
Yes. With the new terminal opened in 2006.
10:36
Anonymous said…
They are still doing "weather studies" but it looks as if it won't be built because the area is not suitable. They said if it isn't built they will invest the planned money into SKP.
10:39
Anonymous said…
If they offer MGX and the airports in one package they would kill two flies with one stone.
10:40
Anonymous said…
So combined, they should have over 2 million passengers this year.
10:46
Anonymous said…
Thank you
10:47
Anonymous said…
Russians also in the past wanted to get concession of Montenegro airports.
10:51
Anonymous said…
Hope they get a good price.
10:53
Anonymous said…
I think this would be a good opportunity for TAV to expand its portfolio in the Balkans.
10:55
Anonymous said…
State will have to find a solution for YM before it makes an airport transaction. YM owes millions to the airport and has no way to repay them. State owned airports don't care that much because they are all part of the same family but trust me a foreign operator will.
11:01
Anonymous said…
Which airport operator also runs an airline? I have never head of one.
11:02
Anonymous said…
I doubt it, that would be too controversial and this already isn't sitting well with the public. They will do a similar deal as the Macedonian government did.
11:02
Anonymous said…
Yes, at least.
11:02
Anonymous said…
I'm surprised TAV hasn't bid for Belgrade Airport.
11:03
Anonymous said…
They couldn't. They were disqualified by the fact that BEG limited the range of companies to not having any airport contracts nearby. Since TAV has in Skopje they were not able to bid.
11:10
Anonymous said…
Excellent! We should get even more LCCs
11:10
Anonymous said…
Yeah because they brought a lot of those to Zagreb...
11:23
Anonymous said…
Opposition parties want a referendum to be held in Tivat over this planned concession.
11:23
Anonymous said…
Good move. Hope they do the same with the airline.
11:23
Anonymous said…
Wizz would never have come if the Macedonian government didn't pay them too. That would have happened regardless of TAV.
11:25
Anonymous said…
Instead of Europe to maintain and manage ex-yu airports it's Turkey!! What a worse news. It sounds like Balkan to be part of Turkey! Hope not.
11:33
Anonymous said…
But there were other Turkish companies bidding and there is one still left in the running.
11:35
Anonymous said…
Who are these IC Altyapi? I have never heard of them.
11:48
Anonymous said…
Now that Etihad is out of its equity investment strategy, no one wants to buy and bankrupt airline.
11:49
Anonymous said…
Will there be anything left in ex-Yu that hasn't been sold :(
11:50
Anonymous said…
I think it's 1 million but I'm not 100% sure.
12:02
Anonymous said…
Holding company, mainly in construction. They have built a lot of projects in Turkey as well as Antalya Airport's new terminal
12:05
Anonymous said…
I doubt the government in Montenegro will be willing to subdisise foreign airlines like Macedonia has.
12:05
Anonymous said…
So Turkey will control airport infrastructure, an asset of national interest, in 3 countries in ex-Yu.
12:06
Anonymous said…
they should build one in region of Strumica, it would be strategicly wiser
12:08
Anonymous said…
Bravo Crna Gora!
12:10
Anonymous said…
4 if you include Kosovo
12:10
Anonymous said…
They are bidding as part of a consortium with the Koreans. They would get the contract to build a new terminal in BEG while the management would be up to the Koreans. That is, of course, if they win.
12:11
Anonymous said…
lol
12:16
Anonymous said…
What foreign airlines? The only airline they have subsidised is Wizz Air. The tenders for other airlines to apply was just a sham to show they are transparent. Deals were already made with Wizz prior to that. Wizz will spread its moral superiority everywhere but it does business in the Balkans the Balkan way. Acting as a monopolist with backroom government deals.
12:17
Anonymous said…
They might bring down fees. Podgorica and Tivat are quite expensive for LCCs.
12:21
Anonymous said…
Well in Croatia its only one airport and there are 8 others, none of which are under concession or privatised
12:21
Anonymous said…
Isn't Brac Airport owned by some hotel resort company?
12:26
Anonymous said…
Imagine if we finally get our first intra-ex-Yu Wizz flights thanks to this. Podgorica-Skopje and Podgorica-Zagreb!
12:30
Anonymous said…
Ah yes, true. I forgot about that.
12:34
Anonymous said…
Nope Wizz je resio da pare trosi u napadu na Aegean, otvara nove linije iz Atine.
12:57
Anonymous said…
I would not say so - look at ZAG, it was expensive anyway and they increased charges even more.
13:01
Anonymous said…
Croatia will eventually follow. DBV and SPU might be financing their expansions through EU grants and loans but the EU has already said it will no longer finance major infrastructure projects in member states. What will they do in 10 years when they can no longer support their growth? They will go an find a foreign partner.
13:16
Anonymous said…
Despite being small there is a market in Mont. Had they opened the market earlier, Podgorica could have be reaching well over one million passengers by now. Instead they were protecting MGX which was falsifying its business results at the time. Hopefully with this concession things will change.
13:17
Anonymous said…
Hopefully, YM stays afloat :)
13:49
Anonymous said…
This is what Ryanair said about the market last year. "The expense of flying one passenger from Europe to Montenegro is much higher than, say, to Cyprus".
13:49
Anonymous said…
So, Turkish influence on strategic infrastructure on the Balkans actually ends only at the Slovenian border.
13:50
Anonymous said…
Wake up EUROPE
13:53
Anonymous said…
It will until the EU sanctions the government for illegal state aid
14:00
Anonymous said…
Montenegro is not part of the EU.
14:08
Anonymous said…
All those saying how people are against concession or privatization... News flash people don't give a s*it. If they did, the same family would not have ruled Montenegro for this long.
14:09
Anonymous said…
As a candidate country it has to follow through with EU regulations
14:26
Anonymous said…
The two airport system is working quite well in Montenegro because you have Tivat for seasonal traffic and Podgorica for year-round more diaspora oriented traffic.
15:04
Anonymous said…
Talk about the Balkan way of doing business. You offer an inferior product (Montenegro) and charge much higher than well established tourist nations.
15:04
Anonymous said…
The good thing about LCCs currently flying to Podgorica is that they operate year-round and not just seasonal like in Croatia which is a win for customers.
16:08
Anonymous said…
If only the Montenegro government had the sense of the Macedonian government and instead of funding a massively loss making national airline was instead offering subsidies to low cost airlines the country's tourism will have been way, way ahead from where it is now.
16:09
Anonymous said…
Ryanair will probably expand from Podgorica again soon.
16:42
Anonymous said…
TGD ima manje cijene za LCC nego TIV,npr.I te cijene nikad nisu zvanicno objavljene!Recimo da FR ima cijenu od 300eur za ground handling,landing,pax tax!Jedino manju cijenu ima MGX-NE PLACE NISTA!
17:37
Anonymous said…
Nobody forbids them.
18:09
Anonymous said…
lol, you mean Ryanair.
20:22
Unknown said…
gov jet,but someone has arrived via istambul
22:07
Anonymous said…
It will be closed
00:05
Anonymous said…
Prague.
01:10
Michael said…
They only hold 15% shares of Zagreb airport, they don't run it.
07:26
Anonymous said…
St. Gallen Altenrhein, too! (People's Viennaline)
10:01
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Loading a JAT DC-9
London, 1971

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