Blackstone to Acquire Stake in UK Airports Group
Deal News | Mar 28, 2025 | Zawya
US private equity giant Blackstone has announced plans to acquire a 22% stake in AGS, the company that operates Aberdeen, Glasgow, and Southampton airports in the UK, for £235 million ($304 million). This acquisition is made from PSP Investments, the Canadian pension investor, which will continue to hold the remaining shares of AGS. This marks yet another strategic move by private equity and infrastructure investors into the UK's airport sector, following Qatar’s Lesha Bank obtaining an indirect stake in Edinburgh airport through an infrastructure fund. Blackstone's chief executive of Infrastructure Strategies, Greg Blank, emphasized the strategic interest in the transportation sector driven by the resurgence in global leisure travel. Previously, the AGS was acquired from Spanish Ferrovial and Australian Macquarie at an enterprise value of £1.5 billion. These strategic consolidations in the UK airport sector reflect the private equity's interest in resilient and growing infrastructure segments.
Sectors
- Private Equity
- Aviation
- Infrastructure
Geography
- United Kingdom – The target company, AGS Airports, operates in the UK, with airports in Aberdeen, Glasgow, and Southampton.
- United States – Blackstone, the acquiring entity, is headquartered in the US, representing a cross-border investment transaction.
- Canada – PSP Investments, the current owner of AGS and seller of the stake, is based in Canada.
Industry
- Private Equity – The article involves Blackstone, a leading private equity investor, engaging in an acquisition to expand its portfolio.
- Aviation – The primary subject is investment in airport operators, specifically UK airports operated by AGS.
- Infrastructure – The acquisition pertains to strategic infrastructure investments reflected in airport management and ownership transitions.
Financials
- $304 million – The price Blackstone is paying for a 22% stake in AGS Airports.
- £1.5 billion – The enterprise value at which AGS Airports was valued when acquired from Ferrovial and Macquarie.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Blackstone | Acquiring Company | Company | A US-based private equity firm involved in the acquisition of a stake in AGS Airports. |
| AGS Airports | Target Company | Company | A UK-based airport group that operates Aberdeen, Glasgow, and Southampton airports. |
| PSP Investments | Selling Company | Company | A Canadian pension investment manager selling a 22% stake in AGS Airports to Blackstone. |
| Lesha Bank | Investor | Company | A Qatar-based bank investing indirectly in Edinburgh airport through an infrastructure-focused fund. |
| Ferrovial | Previous Owner | Company | A Spanish construction group that previously owned AGS Airports and sold its stake in a recent transaction. |
| Macquarie | Previous Owner | Company | An Australian asset manager that was part of the previous ownership of AGS Airports. |