Intermoney | The Spanish firm (Maintain, PO29) is contemplating promoting its 50% stake in AGS, the holding firm for Glasgow, Aberdeen and Southampton airports. The remaining 50% is held by Macquarie, in keeping with Expansión.

AGS is at present within the means of refinancing its debt, some £930 million, after which the Spanish building firm would perform the sale. Expansión’s sources point out a valuation for AGS of lower than £1,000 million for 100% of the capital. This asset is consolidated by the fairness methodology in Ferrovial’s accounts, the place its e book worth is zero. These airports had been half, like Heathrow and till 2009 Gatwick, of BAA, acquired by Ferrovial along with different buyers in 2006.

Valuation: It might not be stunning if Ferrovial divested AGS, as with the latest exit of Heathrow its presence in UK airports has already been tremendously lowered, with the US at present being the quickest rising market, with the €1.1bn+ funding in NTO in New York.

Our valuation of the AGS stake is €550m, which may be very a lot in keeping with Expansión’s sources.

On the again of the Heathrow sale we elevate our Ferrovial PO to €29 from €26, whereas growing our EBITDA steering by a mean of +8% in 2023-25e because of the restoration of building margins. We anticipate EBITDA to develop by +33% to €971m for the complete 12 months.