Aboitiz taps Irish firm for P12.75-B Laguindingan

Aboitiz taps Irish firm for P12.75-B Laguindingan | Daily Tribune

Aboitiz InfraCapital Inc. (AIC), the infrastructure arm of the Aboitiz Group, has partnered with Irish state-run company daa International to improve operational efficiency at Laguindingan Airport as part of its P12.75-billion modernization project.

AIC said on Thursday that daa International, fully owned by the Irish government, will serve as the Technical Services Advisor, lending its expertise in airport operations.

The company operates Dublin Airport, which handles 31 million passengers, and Cork Airport, a regional facility with a capacity similar to the Philippines' regional airports.

daa International's portfolio includes managing over 85 million passengers across airports worldwide, including Riyadh's Terminal 5 and other investments in Europe.

AIC's modernization plan, which will be funded through a mix of debt and equity, aims to boost Laguindingan Airport's capacity by 143.75 percent to 3.9 million passengers per annum (mppa) from its current 1.6 mppa capacity.

"We are excited to take on revitalizing Laguindingan Airport and collaborating with stakeholders to create a world-class facility that serves travelers and the community alike," AIC President and CEO Cosette V. Canilao said.

"This deal marks another major step in our Airports Platform, and we remain optimistic as we pursue further opportunities with other regional airports."

The P12.75-billion project involves renovating and expanding facilities at Laguindingan Airport, Mindanao’s second busiest after Davao's Francisco Bangoy International Airport.

The work will also include upgrading the passenger terminal building, installing equipment, and enhancing both airside and landside facilities under a 30-year concession period.

AIC received the Notice of Award to upgrade, operate, and maintain the Laguindingan Airport on 30 September and expects to sign the concession agreement by the end of the month.

Transportation Secretary Jaime J. Bautista, however, said that AIC may have to wait up to six months before officially taking over the airport's modernization.

"It may take us four to six months before we can officially turn it over because it still has to meet certain conditions," he noted.

AIC, through its joint venture GMCAC, also operates the award-winning Mactan-Cebu International Airport, whose Terminal 2 recently earned a 4-star rating from global aviation consultancy Skytrax.