The Australian government has confirmed its intention to invest 5 billion of Australian dollars (approximately $3.8 billion) in construction of a second international airport in Sydney.
Meanwhile, Sydney Airport Holdings Ltd., an operator of the existing Sydney international airport Kingsford Smith, finally refused on Tuesday to participate in the project because of the associated risks and costs.
“The Sydney Airport decision not to accept the government’s offer was taken on behalf of our investors – millions of Australians who own shares through pension funds,” the company’s press release reads.
Analysts believe the Sydney Airport’s concerns to be justified and praised the company for fiscal discipline. The operator’s shares went up on Tuesday by 0.3%.
