BAA plc, the international airport company, announced an investment of …
BAA plc, the international airport company, announced an investment of £65 million in NATS Group (NATS), the UK`s national air traffic services provider, alongside an identical investment in NATS by the UK Government.
This combined investment of £130 million will be used to pay down NATS` existing debt and assist in its financial restructuring. BAA`s investment is made on terms that are consistent with its return on capital targets. BAA has proposed for two senior BAA executives to be nominated to join the board as non executive directors: Roger Cato, managing director of Gatwick Airport and Vernon Murphy, chairman of BAA`s Heathrow Express.
BAA chief executive designate Mike Clasper said: “We are pleased to be participating in the financial restructuring of NATS announced this morning. We are committed to playing our part in securing the development of the airspace capacity that Britain urgently needs. This limited investment grants us a 4% stake and two loan notes amounting to £60 million, and is supported by the presence of two senior BAA figures on the NATS board, underlining BAA`s commitment to the sound development of the UK`s air traffic control infrastructure.”
Roger Cato was appointed chairman and managing director of Gatwick Airport and chairman of Southampton Airport in October 2001. He was previously managing director of Heathrow Airport and has 30 years experience with BAA encompassing every BAA airport, terminal and airfield. He worked overseas on a number of senior assignments.
Vernon Murphy is currently Chairman of Heathrow Express. He has held a number of senior positions in his 37 years with BAA including chairman of BAA Scottish Airports, managing director BAA International, managing director of BAA regional airports and management roles in most BAA airports.
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