Brazil readies to sell off 60 airports for a cool $6 billion

Several foreign airlines could step in to buy the assets, including Lufthansa, which in June entered talks to buy Brazil’s Grupo Aeroportuario del Sureste, or ASR, the largest airport operator in the country. Brazil…

Brazil readies to sell off 60 airports for a cool $6 billion

Several foreign airlines could step in to buy the assets, including Lufthansa, which in June entered talks to buy Brazil’s Grupo Aeroportuario del Sureste, or ASR, the largest airport operator in the country.

Brazil is taking a big step toward restructuring its an over-stretched national aviation system by making 60 airports in six states available for sale.

The ministry of labor, responsible for the process of privatization, declined to say when bids for the 60 airports will be received, but an official familiar with the plan said bids will be received this month.

Brazil is home to around 280 airports and last year nearly as many planes took off from them. Like its counterparts in Europe and Asia, the airfield in Brazil is overpopulated and depletes the resources of operators, equipment manufacturers and related industries. It also remains highly vulnerable to outbreaks of bad weather and a cost-conscious public that isn’t inclined to contribute more to airport maintenance.

The process comes at a time when the Brazil economy is in recovery mode and the country has made strides reducing taxes for foreign investment.

Brazil’s corporate sales and privatizations raised around $64 billion in the year that ended in June and a half billion dollars in the past three months alone, according to government data. The largest deal in the latest quarter was the sale of Cia De Minas Gerais SA and the Renova Energia group of companies to local firm Vicente Ferraz Group for about $13 billion.

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