Angkasa Pura

Releasing Proposal Request Document, PT Angkasa Pura II Targets Submission of Bid Documents from Prospective Kualanamu Strategic Partners by the End of June 2020

Jakarta - PT Angkasa Pura II (Persero) is targeting the submission of bid documents from prospective strategic partners for the development and management of Kualanamu International Airport by the end of June 2020.

As for today, Monday 10 February 2020, PT Angkasa Pura II released an amendment to the Request for Proposal (RfP) document. The RfP Document Amendment released today is an updated version of what was published on 9 July 2019.

PT Angkasa Pura II President Director Muhammad Awaluddin said the prospective strategic partners would then send an official proposal to the company by referring to the amendments to the RfP Document.

"Around 30 companies have sent a Letter of Interest (LoI) related to their interest in becoming a strategic partner, and today we released an RfP amendment so that they immediately submit a formal offer proposal."

"We are targeting a series of selection to get this world-class strategic partner to be completed in the IV / 2020 Quarter," said Muhammad Awaluddin.

For information, around 39 companies that have sent the Letter of Interest are from East Asia, West Asia, Southeast Asia to Europe.

Later PT Angkasa Pura II and strategic partners will become shareholders in PT Angkasa Pura Aviasi. PT Angkasa Pura Aviasi will later manage Kualanamu International Airport with a 25-year concession period. Where the composition of share ownership in PT Angkasa Pura Aviasi is PT Angkasa Pura (minimum 51%) and strategic partners (maximum 49%).

"PT Angkasa Pura II has become the majority shareholder in PT Angkasa Pura Aviasi so that it has control over various development plans and the management of Kualanamu Airport. We ensure Kualanamu Airport will contribute greatly to economic growth and tourism in Indonesia, "explained Muhammad Awaludidn.

After the concession period is complete, the management rights along with the existing assets will be fully returned to PT Angkasa Pura II.

This Strategic Partnership scheme in the development and management of Kualanamu brings various benefits for PT Angkasa Pura II and Indonesia.

"The advantage of this Strategic Partnership is the existence of Foreign Direct Investment [FDI] to Indonesia which consists of Capex Commitment and Upfront Payment, asset development in Kualanamu, and 3E development, namely Expansion the traffic, Expertise Sharing and Equity Partnership with the aim of making Kualanamu Airport an international airport hub in Western Indonesia, "said Muhammad Awaluddin.

"In addition, the construction of Kualanamu Airport can be accelerated by the existence of alternative financing from strategic partners, plus later the assets that have been built will return to PT Angkasa Pura II," explained Muhammad Awaluddin.

The capacity of the Kualanamu Airport passenger terminal itself will be gradually increased to reach a capacity of 40 million passengers per year, where the current number of Kualanamu airport passengers is around 8-11 million passengers per year.

Kualanamu Airport also has huge potential to be able to contribute more to the economy and tourism in North Sumatra. Various infrastructures have been operated to support Kualanamu such as airport trains and the Medan - Kualanamu - Tebing Tinggi toll road.

Through massive development, Kualanamu Airport, which currently has 4 Star status from Skytrax, is positioned as an international aviation hub in the future. At present, 200 hectares of land are available for various developments.