Major Russia / Changi aviation deal
Jun 22, 2012 12:00 am
Basic Element Group, one of Russia's leading diversified business groups, Sberbank of Russia, the largest bank in Russia, and Changi Airports International, a wholly-owned subsidiary of Changi Airport Group, one of the leading airport operators in the world, in the framework of the St. Petersburg International Economic Forum, have signed a joint venture agreement to invest in and develop airports in Russia.
Basic Element will hold 50 per cent plus one share, Changi Airports International (CAI) will hold 30 per cent and JSC Sberbank will hold 20 per cent minus one share in the joint venture.
Basic Element will contribute to the joint venture shares of the airports in the Krasnodar region including airports of Sochi, Krasnodar, Anapa and Gelendzhik. The total value of the assets exceeds US$500m.The purpose of the joint enterprise is to further develop these airports in the Krasnodar region, to improve levels of service for passengers and air carriers, increase capitalisation of the assets and to also expand the portfolio of airport assets.