The consortium composed by Russian Direct Investment Fund (RDIF), Changi Airports International (CAI) and Basic Element, has won of the tender to acquire shares in Vladivostok International Airport in Russia's Far East.

Each member will hold an equal 33.33% share in the consortium. RDIF is a US$10 billion fund established to make equity investments into Russian economy, CAI is a wholly-owned subsidiary of the world's leading airport operator Changi Airport Group, and Basic Element, is one of Russia's diversified industrial groups.

The consortium's bid was recognised as the best based on the strength of the technical, legal and financial components in the submission. The transaction will be closed after regulatory approvals are received.

Vladivostok International Airport is strategically important for the development of the air transportation system in the region due to its geographical location - the crossing of two air routes between the Russian Far East and the Asia Pacific region. The airport consists of two passenger terminals: the old Domestic Terminal B and the new International Terminal A. It has two airfields, Lake Springs and Knevichi.

In 2012, the aerodrome at Vladivostok International Airport underwent large-scale modernisation and a new terminal construction and is since able to receive all types of aircraft. The upgraded infrastructure has also enhanced the travelling experience of passengers.

Kirill Dmitriev, CEO of the Russian Direct Investment Fund (RDIF), stated:

"The unique global and local experience of our consortium partners, CAI and Basic Element, will be crucial for the further development of Vladivostok International Airport. We are glad that four large investment funds from the Middle East including the leading sovereign wealth funds of the region expressed their intention to join this deal as part of RDIF automatic co-investment mechanism. With an Open Skies policy in place, this airport has the potential to become a key Russian hub within the Asia-Pacific transportation and logistics network. Over 400 million people live within two hours flight of Vladivostok. The transportation hub will promote economic development in the region at every level."

Gulzhan Moldazhanova, CEO of Basic Element, commented:

"We are happy to cooperate with the Russian Direct Investment Fund and Changi Airports International, our long-time partner in airports of the Krasnodar region. Basic Element has done a lot for the development of the airports in Krasnodar region and has successfully provided smooth service to the passengers of the Sochi International Airport, the main port of entry to the Winter Olympic and Paralympic Games. Together with our partners in the consortium, we'll achieve equally impressive results in Vladivostok International Airport by providing highly efficient and smart management, ensuring security, comfort and high standards of servicing aircraft."

Lim Liang Song, CEO of CAI, added:

"We look forward to a strong partnership with Basic Element and RDIF to develop Vladivostok International Airport. Vladivostok is the biggest economy in the Far East of Russia and has been identified to be developed as Russia's strategic gateway to economies in Asia Pacific. We see long-term potential in our investment and will work with all parties to develop the airport into an important aviation hub in the region."