SNCL Malta has a 38.75% shareholding in the Malta Mediterranean Link Consortium Limited (MMLC), which in turn has a 40% stake in Malta International Airport.
If all the conditions are met, the deal is expected to be completed in the first half of 2016.
MMLC was formed in 2001 for the exclusive purpose of bidding on the Malta Airport privatisation project initiated by the Maltese government.
MMLC was, ultimately, successful in winning the bid. As a result, SNC-Lavalin holds an indirect 15.5% interest in MIA, which manages the airport facility under a 65-year concession agreement.
“Throughout the lifecycle of this transportation infrastructure project, as one of the consortium’s founding partners, SNC-Lavalin has played an active part in helping develop the airport into a world-class facility,” says Neil Bruce, President and CEO of SNC-Lavalin.
“The sale of our interest in the Malta International Airport is consistent with our corporate strategy and our expectations. We plan to leverage this valuable experience and redeploy it into future global engineering and construction opportunities."
The agreement by SNC-Lavalin to sell its indirect ownership interest in SNCL Malta is inline with the company’s strategic plan to target sustained growth in key markets and monetise some of its mature infrastructure concession investments.
“As one of the original strategic investors that has operated Malta International Airport for over 13 years, SNC-Lavalin is proud of its steadfast involvement in making it a successful venture for the Government of Malta and its people, and investment for our partners,” said Chantal Sorel, managing director of SNC-Lavalin Capital.
“We have seen the whole operation grow by leaps and bounds, and feel now is the opportune moment to exit our investment in, what has become, a mature operation.”