-
Advertisement
IPO

Airport operator lifts fees as IPO takes off

Reading Time:1 minute
Why you can trust SCMP
SCMP Reporter

The mainland's largest airport, Beijing Capital International Airport (BCIA), is to raise landing charges for domestic airlines this year by up to 50 per cent to boost revenue.

The news comes as the airport, the mainland's busiest in terms of aircraft movement and passenger numbers, launches its share offer for retail investors today.

Executive director Wang Zhanbin said BCIA was now negotiating with domestic airlines over the increase in landing charges.

Advertisement

About 80 per cent of the airport's revenue comes from landing charges and ground handling services.

The airport has signed an agreement with France's Aeroport De Paris (ADP), which has taken a 10 per cent stake in BCIA, and engineering firm Groupe GTM.

Advertisement

The French agencies would help manage the airport for five years.

Mr Wang said the depreciation on the new passenger terminal would see profits fall the first two years after going public, but margins were expected to recover to about 40 per cent three to five years after listing.

Advertisement
Select Voice
Choose your listening speed
Get through articles 2x faster
1.25x
250 WPM
Slow
Average
Fast
1.25x