Hungary’s PM launches new effort to gain control of Budapest airport

Hungary’s prime minister Viktor Orban has launched a new effort to wrest control of Budapest airport from its international investor owners. The government has submitted a second offer to buy the airport after the first was rejected as too low this summer, according to two people familiar with the matter. The offer price for the airport could not be determined. The airport, which was fully privatised in 2011, is majority owned by Canada’s Public Sector Pension Investment Board, which holds a 55% stake through its German-based airport investor AviAlliance. GIC, the Singaporean sovereign wealth fund, owns 23 per cent, while a second Canadian pension fund manager, Caisse de dépôt et placement du Québec (CDPQ), owns the remaining 21% stake. AviAlliance and CDPQ declined to comment, while Singapore’s GIC did not respond to a request for comment. The Hungarian government declined to comment, but in May announced it would make a co-ordinated effort to buy back a majority stake in the airport. The persistent interest from the government comes despite the consortium of foreign investors repeatedly declaring their desire to keep hold of the asset, which is thought to have big growth potential.<br/>