Munich Airport International and The Carlyle Group’s CAG Holdings Form Joint Venture to Improve North American Airports
Munich Airport International (MAI), a wholly-owned subsidiary of Munich Airport, and CAG Holdings (CAG), The Carlyle Group’s (NASDAQ: CG) global airport investment platform, today announced the formation of Reach Airports LLC – a U.S.-based joint venture to offer training, consulting and management services to the aviation sector in the U.S., Canada, Mexico and other OECD countries. Reach Airports builds on the 25+ year experience of Munich Airport’s international business.
Reach Airports combines the strengths of both parties – the airport investment background of CAG with the operational management expertise of MAI. The formation of Reach Airports builds upon an existing partnership between CAG and MAI for airport development opportunities globally, most notably the redevelopment of Terminal One at New York’s JFK International Airport. The combination of a strong financial investor joining forces with Europe’s best airport to transform the customer experience at JFK represents a milestone in the North American aviation sector.
MAI, the international business arm of Munich Airport, Europe’s only 5-star airport, will continue to expand its global business activities through the creation of Reach Airports. “Together with our partner, CAG, we look forward to providing excellent services to a market that demands significant airport improvements,” states Dr. Ralf Gaffal, Managing Director of Munich Airport International. “We are excited to bring our proven long-term operational and commercial experience developed at airports around the world to North America.”
CAG, which is a portfolio company of the Carlyle Global Infrastructure Opportunity Fund, is led by an experienced U.S.-based management team. With its deep roots in the North American market, CAG acknowledges the importance of working with diverse stakeholders at the local level. “Airports are the economic engines for our regions and cities, and any improvements must reflect the community’s interests while providing new opportunities for growth and career development for local residents,” explains Amit Rikhy, President & CEO of CAG. “We are excited to partner with Munich Airport to reimagine the airport customer experience in close collaboration with local communities and public authorities across the continent.”
About Munich Airport and Munich Airport International
Incorporated in 1949, Flughafen München GmbH (FMG) has been operating Munich Airport on its current site since its opening on May 17, 1992. It is jointly owned by the Free State of Bavaria (51 percent), the Federal Republic of Germany (26 percent) and the city of Munich (23 percent). The FMG corporate group, with its 16 subsidiaries, employs more than 9,000 people. With a total workforce of about 35,000, employed by about 550 companies, Munich Airport is one of Bavaria’s largest employers. Within just a few years of opening, Munich Airport developed into a major air transportation hub and was firmly established as one of Europe’s 10 busiest airports. Munich Airport now offers connections to more than 250 destinations all over the world. In 2017 Bavaria’s gateway to the world has handled approximately 405,000 flights with 44.6 million passengers. Munich Airport is proud to be the first – and remains the only – airport in Europe with a “5-Star Airport” designation by the London-based Skytrax Institute.
As a wholly-owned subsidiary of Munich Airport’s operating company Flughafen München GmbH, Munich Airport International (MAI) is responsible for all national and international consultancy, management and training services. The 70 experts at MAI provide full airport lifecycle services, including planning/design, project management, operational readiness and airport transfer (ORAT), commercial development, process reengineering, profit and revenue optimization, tailor-made training services and comprehensive airport management. In addition to airports, customers also include airlines, ground handlers and airport investors.
About The Carlyle Group and CAG Holdings
The Carlyle Group (NASDAQ: CG) is a global alternative asset manager with $212 billion of assets under management across 339 investment vehicles as of September 30, 2018. Carlyle’s purpose is to invest wisely and create value on behalf of its investors, many of whom are public pensions. Carlyle invests across four segments – Corporate Private Equity, Real Assets, Global Credit and Investment Solutions – in Africa, Asia, Australia, Europe, the Middle East, North America and South America. Carlyle has expertise in various industries, including: aerospace, defense & government services, consumer & retail, energy, financial services, healthcare, industrial, real estate, technology & business services, telecommunications & media and transportation. The Carlyle Group employs more than 1,625 people in 31 offices across six continents. www.carlyle.com
The Carlyle Global Infrastructure Opportunity Fund, L.P. (CGI) is Carlyle’s flagship infrastructure investment fund focused on investments globally. CGI is managed by a team of experienced professionals based in Washington, DC and has been the driving force behind recent landmark announced transactions including the Port of Corpus Christi Texas and, together with CAG Holdings, the redevelopment of New York’s JFK Terminal One.
CAG Holdings (CAG) is The Carlyle Group’s dedicated U.S.-based investment arm for airport infrastructure investment opportunities globally and is a portfolio company of the Carlyle Global Infrastructure Opportunity Fund. CAG is led by an experienced management team with a track record of more than 70+ airport projects globally combined with a deep, localized understanding of the U.S. airport market.