Business
Fraport withdraws from participation in Russian airport due to Putin's politics.
Russian President Vladimir Putin has ordered a new operator structure for Pulkovo Airport in St. Petersburg, resulting in the displacement of German shareholder Fraport.
Russian President Vladimir Putin has ordered that the new operator structure of Pulkovo Airport in St. Petersburg does not involve the German shareholder Fraport. Fraport had previously held 25 percent of the operating company, but Putin justified his decision with the "unfriendly actions of some foreign states and international organizations", as stated in the published decree.
Upon request, Fraport stated that the company would first verify the information and examine the impact on their involvement in St. Petersburg, which they had put on hold since the beginning of the Russian aggression war.
Since the Russian offensive war against Ukraine, numerous western companies have withdrawn from the market of the giant empire. The western sanctions in the course of the war have affected many areas of the Russian economy.
To ensure the operation of plants and companies as well as jobs, Putin has repeatedly ordered forced administrations in recent months. The latest measures concern the international Pulkovo airport and were taken due to "the risk to the national interests and economic security of the Russian Federation".
According to the decree, the shares of the consortium Northern Capital Gateway (NCG), which is controlled by the Cyprus-registered company Thalita Trading Ltd., will be transferred to a new holding company established by the Russian government. Only the Russian shareholders will retain their rights, while foreign investors will be disadvantaged. Fraport had already announced at the beginning of the war that it would withdraw from the operation of the airport.
In September, the CEO of Russian bank VTB, Andrei Kostin, announced that the details of Fraport's exit should be finalized by the end of the year. He estimated the value of Fraport's stake at 111 million euros. The existing holding company NCG, which had obtained a 30-year contract to operate Pulkovo Airport in 2010, belonged to a total of 13 different companies.
After the announcement of the new operator structure, the Fraport share briefly rose by 0.92 percent to 52.84 euros.
