It took place on the same date when Budapest Airport was privatized back in 2004. What was EY’s role as one of the buy-side transaction advisors in supporting the largest acquisition in Hungary’s economic history?
Since 2004, Budapest Airport had been majority-owned and operated by international shareholders. The Hungarian state had long aspired to reclaim this national asset, recognizing its ever-growing economic importance.
In 2019, the airport saw a record-breaking 16.2 million passengers, a figure that had nearly returned to pre-pandemic levels by the end of 2023, and there is continuous growth both in passenger numbers and cargo volume.
In such a complex case as the acquisition of an airport, the professionalism and preparedness of any team that would like to sit at the table are just the bare minimum.
One must have a team of seasoned experts ready to give their best 24/7 for almost two years.
Our involvement spanned every facet of the transaction.
We participated in negotiations with VINCI Airports, prepared the financial model, conducted due diligence and provided structuring assistance.
The acquisition concluded in June 2024. The Hungarian state acquired an 80% stake in Budapest Airport Ltd. and VINCI Airports a 20% share, with a purchase price of EUR 3.1 billion. The deal set a record, bringing the airport back into national majority ownership after nearly 20 years.
I am proud that we could support the largest and most complex transaction in Hungarian economic history, where the decades of international and domestic experience of our experts and our ability to handle the most challenging acquisitions comprehensively were literally key.
To do all this in 2023 and 2024, when we advised clients on approximately 20 other mergers and acquisitions, is a true testament to the professionalism and dedication of the best team in the country, which I am honored to co-lead with Iván Sefer.
As we look ahead to 2025, I am confident that with an improving interest rate environment and growing economic performance, M&A market activities will further intensify. The future holds great opportunities; we at EY are ready to continue serving our clients, knowing that their success is also Hungary’s success.
The author, Dr. Péter Vaszari, is a partner at EY’s Strategy and Transactions Advisory division.
This article was first published in the Budapest Business Journal print issue of December 13, 2024.
