Auction time in Brazil

Having bid a total of US$1.19bn, three companies are now set to operate four airports in Brazil.

Germany-based Fraport has won the concession for the airports of Fortaleza (30 years) and Porto Alegre (for 25 years); part of the deal will involve it paying the government 5% of the airports’ annual revenues. Zurich airport operator Flughafen Zurich was successful in its bid for the concession to operate Hercílio Luz airport in Florianópolis: this contract will run for 30 years. Elsewhere, Vinci gained the right to operate Magalhaes airport in Salvador, also for a 30 year contract.

In all, the quartet account for just over 11% of Brazilian passenger traffic.