Sky ICT Public Company Limited (SET: SKY) is expected to participate in the bidding for ground and equipment services at Thailand’s Suvarnabhumi Airport worth a total of 67.3 billion baht.
AOT has announced the sale of documents for the selection of Public-Private Partnership (PPP) for projects related to apron services and ground handling equipment, as well as passenger services and related businesses at Suvarnabhumi Airport for the third operator. The project is valued at 29,390.76 million baht. Additionally, there is a project for cargo services at Suvarnabhumi Airport with the third operator, valued at 37,914.56 million baht. Combined, these projects amount to approximately 67 billion baht.
Sithidej Mayalarp, Chief Executive Officer of Sky ICT Public Company Limited (SET: SKY), stated that the Sky Group is interested in participating in the bidding for the Phase 3 warehouse and ground service projects at Suvarnabhumi Airport, with the auction scheduled to open next month. The number of official bidders participating will be known only on the submission day.
The Airport Ground Services Company Limited (AOTGA), in which Sky ICT Public Company Limited (SET: SKY) holds a stake through SAL Group (Thailand) Co., Ltd. or SAL by 51%, will compete in both projects. The proposal submission deadline is set for May 26, 2025, with the proposal opening on May 27, 2025. Bid winners will be announced within Q3 2025, and contracts are expected to be signed in Q2 2026.
If AOTGA wins the contracts, they are prepared for the investment which will require capital from both cash flow and additional loans due to the significant investment required. Pre-negotiations with financial institutions may be necessary, but they are confident that AOTGA’s credit will not be an issue. Meanwhile, AOT will receive income from AOTGA in two forms: as a 49% shareholder and as the project owner. As the project owner, AOT will receive concession fees and minimum guarantee revenues.
