Corporación América Plans US$300-million Uruguay Airport Investment

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November 12. Airport operator Corporación América Airports SA is boosting its bet on Uruguay after receiving a 20-year extension on a key international airport there while beefing up its presence in the South American country with some smaller airfields.

Its Uruguay subsidiary, Puerta del Sur SA, extended the concession of the airport serving the capital, Montevideo, until 2053, and added six domestic airports to the agreement. The company plans to invest to upgrade the infrastructure of the local airports, which until now had been losing money, to global standards, said Martin Eurnekian, chief executive officer of Corporación América Airports.

The move comes almost a year after the company negotiated a 10-year extension on the concession it holds on airports in Argentina through its unit Aeropuertos Argentina 2000 SA. While it was hard-hit by global airport closures due to the pandemic, shares for the parent company have recovered from their levels of February 2020, the early stages of the spread of the coronavirus to the region. Its shares fell 3.3 percent to US$5.96 per share at 11.12am in New York.

The company will look to develop traffic in the local airports, and sees the biggest short-term commercial opportunities in the two airports furthest from the capital city, Rivera and Salto, said Puerta del Sur CEO Diego Arrosa. It’s in talks with carriers to boost connectivity, particularly for the airports in the north. It’s also looking into policies that would allow it to accommodate hybrid electric aircraft at its airports, which are more efficient and less expensive.

Source: Buenos Aires Time

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87760cookie-checkCorporación América Plans US$300-million Uruguay Airport Investment