Events after the Balance Sheet Date
Effective January 1, 2023, FraSec Fraport Security Services GmbH transferred in a second step 25% of the shares in FraSec Aviation Security GmbH, formerly FraSec Luftsicherheit GmbH, to the Dr. Sasse Group. As a result of this transfer, the Dr. Sasse Group holds a 51% majority stake in FraSec Aviation Security GmbH.
Under the concession agreement, the Group company in Lima is required to renew terrorism property insurance with an insurance volume of $200 million by February 28, 2023. Due to the ongoing political unrest in Lima, the insurance volume could not be concluded to the required extent. The concession agreement stipulates that a lack of insurance coverage constitutes an immediate breach of the concession agreement, known as an Event of Default (as of March 1, 2023), which gives the grantor a unilateral right to terminate the concession.
The Group company in Lima declared force majeure to the grantor on February 15, 2023, as it is unable to fulfill its contractual obligation due to reasons beyond its control, namely the political unrest in Peru. The declaration of force majeure initially suspends a potential default until the grantor has taken a position on the declaration.
The goal is to obtain a waiver from the grantor for failure to provide the required volume of insurance, beyond the declaration of force majeure, and thus avoid an event of default.
Regarding the project financing newly concluded in December to replace the bridge financing and further finance the expansion obligations, there is a risk that agreed disbursements cannot be made or must be repaid at short notice.
Effective termination of the concession agreement by the grantor would result in the derecognition of the concession and the loss of the planned positive earnings contributions and would have a massive negative impact on both the 2023 fiscal year and the planned positive business development in subsequent years.
Fraport currently assumes that an agreement will be reached with the grantor of the concession.
No further substantial events occurred after the balance sheet date for the Fraport Group.