Macquarie Asset Management, through its Macquarie European Infrastructure Fund 7, has agreed to acquire an additional 50 percent equity stake in London City Airport. The stake is being purchased from Alberta Investment Management Corporation and OMERS, increasing Macquarie’s total ownership in the airport to 75 percent. In June, Macquarie had announced the acquisition of a 25 percent stake in the airport from the Ontario Teachers’ Pension Plan.
London City Airport is centrally located in London and provides direct transportation links to the City of London and Canary Wharf. The airport operates more than 50,000 flights annually and serves over 30 destinations across the UK and Europe.
The UK Government recently approved plans for London City Airport to increase its passenger capacity from 6.5 million to 9 million. The airport has also applied to the Civil Aviation Authority for approval to operate a wider range of aircraft, aiming to expand leisure destinations and support the transition of airline fleets toward newer, quieter, and more sustainable aircraft.
Sara Sulaiman, Managing Director at Macquarie Asset Management in EMEA, stated: “Our additional investment in London City Airport underscores our commitment to the UK’s aviation sector. Britain’s airports are a key driver of economic growth and demand for air travel continues to increase year-on-year. We look forward to working in partnership with London City Airport’s management team and Wren House Infrastructure, who will remain as shareholder, to support the airport in meeting future demand as it increases the number of passengers, launches new routes to destinations across the UK and Europe, and further enhances the experience for passengers.”
Alison FitzGerald, Chief Executive Officer at London City Airport, commented: “London City Airport is already the airport everyone loves, recognised for delivering excellence in customer service alongside unrivalled speed and convenience. This further investment from Macquarie Asset Management is a strong endorsement of our strategy to introduce new larger, quieter and cleaner aircraft, deliver more route choices for our customers, benefit our airline partners, and contribute even more to the UK economy.”
Macquarie has invested in airports globally for over 20 years, including facilities in Australia, Belgium, Italy, Denmark, Ecuador, and Colombia. In addition to its increased stake in London City Airport this year, Macquarie has acquired significant stakes in Bristol and Birmingham Airports. The acquisition of these stakes is expected to reach financial close by the end of October 2025.
Macquarie Group has operated in the UK for over 35 years and has invested more than £65 billion in UK infrastructure since 1999. In October 2024, the group announced plans to invest an additional £20 billion in UK infrastructure.
Financial close for the additional stake in London City Airport occurred at signing. The terms of the transaction have not been disclosed.