HNA Infrastructure has made its first move into Latin America by taking a 60 per cent stake in the operator of Rio de Janeiro’s Antonio Carlos Jobim Galeao International Airport.
The HNA Group subsidiary will acquire the equity stake from Rio de Janeiro Aeroportos (RJA) from Odebrecht for 60.1 million reals ($18.8 million) and also pay an additional 1.01 billion reals in concession fees.
It has also agreed to sell nine per cent of its stake to Changi Airports International (CAI), meaning HNA and CAI will hold a 51 per cent stake and a 49 per cent stake in RJA respectively.
HNA Infrastructure CIO, Guanghui Ma says: “This investment is a reflection of HNA Group and HNA Infrastructure’s steadfast commitment to furthering ‘the Belt and Road’ Initiative in order to meaningfully strengthen the cooperation between China and Latin American countries, particularly on development and infrastructure projects. We are pleased to be fostering deeper connections between the regions.”
Galeao Airport is the largest international airport in Rio de Janeiro and provides significant access to the Brazilian and Latin American region, and HNA says the deal will significantly enhance its footprint and resources overseas and specifically in Latin America.
The transaction is subject to regulatory approvals in China and Brazil, and is expected to close in the fourth quarter.