Finance Monthly. Beyond the Deal Beyond aviation, increased passenger flows typically generate multiplier effects across hospitality, retail, transport services, and regional economies. Infrastructure expansion of this scale can also generate direct and indirect employment opportunities during both construction and operational phases. As tourism remains a significant contributor to Greece’s GDP, airport capacity expansion may serve as a catalyst for broader economic growth and regional development. What ongoing legal oversight is required during the phased implementation of the expansion financing? We will continue advising Alpha Bank on drawdowns throughout the duration of the bond loan. This includes reviewing conditions precedent, preparing necessary documentation, and issuing legal opinions as required. We will also support any post-closing amendments or technical adjustments that may arise during the implementation of the expansion plan. Long-term infrastructure financings require ongoing legal coordination, and we remain engaged throughout the lifecycle of the project. Deal Overview Athens International Airport has secured an €806 million secured bond loan to finance a major multi-phase expansion programme that will increase the airport’s capacity to 50 million passengers annually by 2045. The financing, backed by Alpha Bank, forms part of a broader €1.35 billion infrastructure investment plan aimed at upgrading Greece’s largest and busiest airport. The first phase of works is expected to commence in early 2025 and run through 2028, increasing annual passenger capacity from approximately 26 million to 33 million. The expansion includes an 81,000 square metre enlargement of the main terminal, additional aircraft stands and passenger gates, upgraded baggage handling systems, a new runway with 32 aircraft slots, a new VIP terminal, expanded road access, and a multi-storey parking facility. Alongside the new bond loan, amendments and restatements were implemented across four existing major bond loans originally issued in 2019, 2022, and 2024. The transaction required coordination between multiple Greek systemic banks and involved complex alignment of existing finance and security documentation. Koutalidis advised Alpha Bank on the new financing and also advised the syndicate of Greek systemic banks on the amendment and restatement of the existing bond loans. The transaction reflects continued investment in aviation infrastructure across Europe, underpinned by strong passenger growth and rising tourism demand in Greece. Transaction Context Passenger traffic at Athens International Airport reached 24.6 million in the first nine months of 2024 — a 13.3% increase compared to the same period in 2023. Total revenues rose 9.8% to €509 million, while adjusted EBITDA increased 16.9% to €339.9 million. The airport’s financial performance strengthened the foundation for long-term infrastructure financing, supporting the structuring of the new secured bond loan with a final maturity extending to 2042. The financing structure allows for multiple drawdowns aligned with construction milestones. At the same time, amendments to existing bond loans were required to ensure consistency across the broader financing framework while preserving the autonomy of each individual instrument. The designation of the new expansion bond loan as “Designated Debt” under the Airport Development Agreement added an additional layer of structural complexity. The project includes terminal expansion, additional aircraft slots, runway enhancements, VIP facilities, parking infrastructure, and surrounding road network upgrades.
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