New owner of Glasgow Airport announces plan for major investment

The airport management company has announced its single largest capital investment in AGS Airports since its formation in 2014. AviAlliance has also named former Forth Ports CEO Charles Hammond OBE as the new chair of AGS, which includes Aberdeen, Glasgow and Southampton Airports.

AviAlliance, one of the world's leading private airport investors and operators, acquired the airports from Ferrovial and Macquarie in January for an enterprise value of £1.53 billion. AviAlliance is a wholly-owned subsidiary of PSP Investments, one of Canada’s largest pension investors, which is a long-standing investor in UK infrastructure with majority stakes in the port operator Forth Ports, one of the UK’s largest port groups and Angel Trains, the largest rolling stock company in the UK.

The five-year plan for growth includes the comprehensive transformation of Glasgow Airport’s main terminal building, which the owners say will deliver best in class operational and retail facilities for passengers. The programme will also direct investment into airfield infrastructure and energy efficiency initiatives for Glasgow, which handled around eight million passengers in 2024.

Charles Hammond stepped down as chief executive of Forth Ports in 2024. A qualified lawyer, he joined Forth Ports in 1989 as company secretary when it was a publicly-run ports and river authority and oversaw the company’s move from a publicly listed PLC to private ownership in 2011.

Kam Jandu, chief executive of AGS Airports, said: “AGS plays a critical role in driving economic and social prosperity across Scotland and the UK. We have ambitious plans for the long-term, sustainable growth of our airports including the strengthening of our connectivity which underpins the success of the regions we serve.

“This significant investment will not only enhance the fabric of our airports, it will enhance the role they currently play in facilitating trade and tourism, and, importantly in generating meaningful employment across the country.

“We are also delighted to welcome Charles on board as our new chair. He is joining at what is a very exciting time for AGS and his unrivalled experience will prove invaluable as we work to unlock the next chapter in the group’s growth.”

Gerhard Schroeder, managing director of AviAlliance, which completed the £1.53bn acquisition of AGS Airports in January, said: “AviAlliance takes a long-term view across all the airports within our portfolio and this investment will assist AGS in accelerating its plans for delivering a superior passenger experience and growing connectivity.

“We are looking forward to working with AGS’ regional and national partners over the coming years to realise the full and undoubted potential of Aberdeen, Glasgow and Southampton airports.”

AGS supports more than 30,000 jobs and generates in excess of £2bn in Gross Value Added (GVA) for the UK economy every year. Charles Hammond said: “I know Aberdeen, Glasgow and Southampton airports very well and I am also well aware of the critical role they play as drivers of regional economic growth across the UK.

“With the £350m investment from our new shareholders now confirmed, I am relishing the opportunity of working with the AGS board, Kam and his executive team, to ensure AGS can play an even greater role in supporting our regions to boost trade and tourism.”

Deputy First Minister of Scotland Kate Forbes said: “This significant investment in Scotland by AGS will bring incredible benefits through improved infrastructure at both Glasgow and Aberdeen airports, and to our wider economy.

“Good international connectivity is key to economic growth in Scotland. It enables flow of trade, investment, labour and tourism, which will contribute to our prosperity. Additionally, the commitment to sustainability is welcome as we progress towards a net zero future.”

UK Aviation Minister, Mike Kane MP, said: “It’s fantastic to see AGS Airports investing hundreds of millions of pounds into regional airports, turbocharging economic growth and supporting local jobs and skills right across the country, in line with our Plan for Change.

“This investment will drive forward decarbonisation at airports across the country and support the deployment of new fuels and technologies to contribute to the sustainable growth of the sector.”