Citing the need to focus on aggressive targets in its own strategic plan, the Vancouver Airport Authority sold its 50 percent interest in Vantage Airport Group to the company’s other shareholder Gateway Airports LP.
The authority will continue providing support services and operational expertise to Vantage through a long-term strategic partnership agreement but will no longer hold an ownership stake, airport officials say in a statement.
The authority created Vantage Airport Group in 1994 to provide “award-winning operational know-how” from its operation of Vancouver International (YVR), particularly with respect to helping publicly run airports transition to private entities.
“We formed Vantage Airport Group in 1994 as a way to export great Canadian talent and YVR’s unique approach to exceptional airport experiences,” says Craig Richmond, the airport authority’s CEO and president. “The sale of Vantage allows the airport authority to focus increased financial and human resources on YVR initiatives aimed at providing economic and social benefits to British Columbians and helping YVR compete effectively in today’s environment.”
Since its inception, Vantage has been involved with 27 airports in 11 countries and helped take 19 airports from public to private management. Currently, Vantage is involved with eight airports in five countries, and it was selected as the preferred proposer for the terminal replacement at LaGuardia (LGA). The airport authority has invested $52.6 million into Vantage since its inception and has received dividends and sales proceeds of $105 million, while earning close to a 9 percent return.
YVR sold half of its interest in Vantage to Gateway Airports in 2008. Gateway was originally a British company called CIP Airports LP, but it is now headquartered in New York.
The authority’s vision, outlined in a new strategic plan in 2014, includes a target of 25 million passengers served by 2020 and a goal of making YVR a world-class sustainable hub connecting Asia to the Americas.
“YVR will focus its resources on the aggressive targets established in our strategic plan,” Richmond says. “We are proud and remain committed to our ongoing relationship with Vantage and will continue to share our leading-edge innovations, approach to world class operations, ideas and people.”
