BAA to Sell World Duty Free Europe

Airport company BAA has agreed to sell its retail wing World Duty Free Europe to Autogrill, an operator of food and beverage outlets, for GBP546.6 million.

BAA is selling World Duty Free Europe as part of its ongoing non-core asset disposal program. World Duty Free Europe will enter into a 12-year concession agreement for the operation of duty free stores at BAA’s seven UK airports.

The proceeds of the sale will be used to repay debt in accordance with the terms of the ADI financing agreements. The disposal is conditional upon ECMR clearance and is expected to complete towards the end of April 2008.