Fraport Greece, Greece-based airport operator and a subsidiary of Frankfurt Airport Germany, announced that it has commenced the 40-year concession for managing, operating and developing 14 regional airports on the Greek mainland and popular holiday islands.
Following the operational transfer of the airports, Fraport Greece has paid the upfront concession fee of €1.234 billion ($1.316 billion) on the 12th of April 2017 and, according to the company, it is the biggest concession fee in Greece’s history paid to the Hellenic Republic Asset Development Fund (HRADF).
Along with this upfront fee, an annual fixed concession fee of €22.9 million ($24.43 million) will be paid to the Greek State, as well as a variable annual fee based on 28.5% of Fraport Greece’s yearly operational profit [EBITDA – earnings before interest, tax, depreciation and amortization]. Actual ownership of the airports is retained by the Greek State.
According to Fraport Greece, the 14 Greek regional airports served a total of 25.3 million passengers in 2016, an increase by 9% year-over-year. Fraport Greece will operate, manage and develop the airports over the next four decades. The airports include in the concession are: Aktion (PVK), Kavala (KVA), Thessaloniki (SKG), Kerkyra/Corfu (CFU), Chania/Crete (CHQ), Kefalonia (EFL), Kos (KGS), Mytilene/Lesvos (MJT), Mykonos (JMK), Rhodes (RHO), Samos (KGS), Santorini (JTR), Skiathos (JSI) and Zakynthos (ZTH).
Fraport Greece is 73.4% owned by the Frankfurt based airport operator Fraport AG and 26.6% by Copelouzos Group.