Fraport Twin Star JV to invest further 10 mln euro in Bulgaria's Burgas, Varna airports under extended concession

Under an amendment to the concession contract, Fraport Twin Star will also increase by 10 million euro to a total of 413 million euro ($409.2 million) the overall amount of investments it will need to make in the two airports for the duration of the concession, the government said in a press release.

"The amendment decision is being granted as a result of a reasoned proposal by the concessionaire which is justified by the economic hardship caused by the continued COVID-19 pandemic and the military conflict between Russia and Ukraine, which have led to a serious drop in passenger traffic," the government said.

In its proposal, Fraport Twin Star pointed out that these factors have a direct impact on the aviation sector and have had a significant adverse effect on its activity as the operator of the two airports.

Last week, the company announced that the combined number of passengers handled by Varna and Burgas airports rose by 66.7% on the year to some 2.34 million in the eight months through August. Cargo handled at the two airports rose by an annual 47.2% to 5,412 tonnes over the same period.

Bulgaria awarded the joint venture an initial 35-year concession for the Burgas and Varna airports in 2006.

($ = 1.00934 euro)