Talks must go on: the establishing of a joint venture for construction of new Riga International Airport will be discussed with consortium TAV/Skonto būve


The further talks will discuss the conditions of the agreement and basic principles of the partnership model. Special attention will be paid to the protection of the state and airport interests as well as to the attraction of necessary financing for the project without the state or airport guarantees.

Sani Sener, the president of TAV Airports Holding has confirmed that the company was ready to start the construction of a new airport terminal by the middle of 2010 putting the first stage into operation by June 2012.

Krishjanis Peters, Chairman of the Board, JSC Riga International Airport: “A private partner, which is ready to invest several hundreds million euro without the state guarantees and securities is an achievement worth admiring. We will continue talks with TAV Airport Holdings/Skonto būve about the cooperation conditions. I will firmly present and protect the state interests.” The investments into the construction of the new Riga airport will reach 200 – 250 million euro. “This project will greatly influence the Latvian economy creating new jobs and new favourable conditions for the development of the related industries – hotels, tourism, transport and other”, says K. Peters.

In the process of studying the offers and negotiating with the contenders, JSC Riga International Airport has come to a conclusion that the offer from consortium TAV Airport/Skonto is the most detailed and provides the most precise and clear benefits for the development of the airport’s aviation and non-aviation areas.

In TAV Airport/Skonto būve’s vision Riga International Airport is destined to become a leading transit airport of the Northern Europe. The company says it is ready to develop, design, build and maintain it in the future.

Sani Seners, president of TAV Airports Holding, has said during the press-conference: “Our project is important for the whole region. TAV Airports Holdings possesses a successful experience of operations in more than 10 airports all over the world – due to the unique system of united management and fruitful partnership with the leading world’s financial institutions. Our cooperation with 300 airline companies will allow us to bring them to Riga making this city a meeting point between Europe and Asia and a transit centre – a main destination point in the Baltic region.”

Ainars Shlessers, Minister of Communications of the Republic of Latvia: “It is not the time of crisis, but the time to take advantage of the opportunities. The private partner will develop the new Riga International Airport making it a whole a town of its own. This project also means a birth of a new airline company offering flights to Asia – China, Japan, Thailand and India. We develop this project without using the state guarantees or financing. Our contribution is a great location. Along with the construction of the airport, we will finish the development of the railroad and access road allowing to reach the Riga’s centre in 10 minutes.”

Halil Emesen, Goldman Sachs representative, has confirmed the company’s participation in the airport’s development: “Our agreement to participate in the project means we will work even in the current market conditions.”

Guntis Ravis, Chairman of the Board, Skonto būve: “The projects like this can save the Latvian economy. Uniting our potentials – finances, experience and labour force – we can make Latvia more rich and famous. This project means more jobs for the people and more money from the taxes for the state.”

The goal of the competition was to choose a partner – or a consortium – which will join the JSC Riga International Airport in a joint enterprise in accordance with the principles of private and public partnership.

The main selection criteria was the ability to present the most beneficial conditions of the agreement for Riga International Airport fast and effective development and putting into operation.

The competition took place in two stages. The first stage included the evaluation of experience and preparation for the job. The second stage had a goal of determining the best candidate for becoming a partner of the state-run JSC Riga International Airport in a joint enterprise with an aim to develop the airports infrastructure.