GLOBAL investment manager AMP Capital has agreed to acquire 49% of London Luton Airport from Ardian on behalf of investors in its global infrastructure equity strategy.

London Luton Airport (London Luton) is the fifth-largest UK airport, serving 15.8 million passengers in 2017, and the fastest-growing airport in the high-demand London market.

The airport is operated under a concession agreement with Luton Borough Council. The remaining 51% of the concession is owned by Spanish airports operator Aena SME, SA (Aena).

London Luton is undergoing a transformational investment plan, on track for completion this year, which will increase passenger capacity and enhance the airport’s retail space, nearly doubling the footprint from 5,518 square metres to 10,905 square metres.

Boe Pahari, global head of infrastructure equity at AMP Capital, says: “London Luton Airport is a high-quality capital city airport with significant further growth potential, catering for the high-volume London market, which makes it a compelling investment opportunity for our investors.”

AMP Capital acquired 100% of Leeds Bradford Airport in November 2017 and is a long-standing investor in other airports including Newcastle Airport in the UK and Melbourne Airport in Australia.

Mathias Burghardt, member of the executive committee of Ardian and head of infrastructure, says: “We are very proud of the growth and development we have helped create at the airport, which has only been possible thanks to the hard work of the employees at LLA and the other stakeholders involved. AMP Capital will be an excellent partner for LLA as the airport continues its growth ambitions, and we wish them all the best for the next stage of the expansion.”

Photo: London Luton Airport