TAV Airports is a fully vertically integrated airport operator.We can undertake any and all services and capabilities required to build and operate any airport around the world. These capabilities comprise terminal and airside operations, duty-free retail, food and beverage production and sales, ground handling operations, airport IT services, lounge services and airport security. This level of end-to-end vertical integration creates many synergies and efficiencies, enabling TAV airports to maximize value creation at any given airport. We also fully benefit from the expertise of our sister company, TAV Construction, largest airport construction company in the world according to ENR.
TAV Airports is a global airport operator. Although we mainly operate in our core-geography of Eastern Europe, Middle-East, Africa and CIS countries, we are also constantly on the lookout for new opportunities in many different georgraphies ranging from North America to Southeast Asia.
Three Pillars of TAV Airports’ Growth Strategy:
1)Organic growth: Present operations are focused on the fastest growing aviation markets in the world.
Our primary market, Turkey, has been one of the fastest growing aviation markets in the world. According to projections of Airbus, Boeing, Eurocontrol and the State Airports Authority of Turkey, the growth is poised to continue in the next ten years. In addition to Turkey, almost all of the airports that we operate are located in emerging economies with a well established track record of above average growth.
2)Inorganic growth: An extensive track record in disciplined bidding for new airports.
Our main focus in inorganic growth is value creation by generating a return above our cost of capital. To this end, we carefully screen countless airport operation projects around the world with very sophisticated financial and operational models, project an expected return and keep our bidding within the parameters of these calculations. We have a solid track record in discontinuing tenders where we believe the implied IRR has fallen below our acceptable return threshold.
3)The growth of the service companies outside the TAV ecosystem.
We have defined the growth of our auxiliary service companies as the third pillar of TAV Airports’ growth strategy. Since the definition of this mandate, service companies in our portfolio have won numerous concessions around the world in tenders for duty-free, ground handling, IT and lounge services.