LONDON (dpa-AFX) - U.K.-based infrastructure services company Balfour Beatty plc (BBY.L, BAFBF) is looking to sell its 60 percent stake in Exeter International Airport amid pessimism about the prospects for a recovery in passenger numbers, Sky News reported Tuesday.
According to Sky News, Balfour Beatty has in recent weeks started sounding out prospective bidders for its stake in the airport. Earlier in May, the company said it completed the sale of stake in five private finance initiative or PFI projects.
Balfour Beatty, in January 2007, led a consortium that completed the acquisition of the Exeter and Devon International Airport Ltd that owns Exeter International Airport, for 60 million pounds from Devon County Council. However, in August 2012, Balfour Beatty wrote down the value of its holding in Exeter Airport from 12 million pounds to zero.
In late April 2013, Balfour Beatty said it expects its UK construction business to deliver significantly lower full-year profit from operations than it had estimated in March, amid a challenging environment. The company also said that the remainder of the business remained on track in aggregate.
The remaining shareholding in Exeter airport is owned by Galaxy, a specialist fund backed by French and Italian investors as well as the European Commission. According to Sky News, it was not clear whether the Galaxy stake in Exeter airport was also up for sale or what price Balfour was seeking for its stake.
BBY.L closed Tuesday's regular session on the London Stock Exchange at 237.30 pence, up 0.80 pence or 0.34 percent on a volume of 4.31 million shares.
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© 2013 AFX News
