Terminal Value of Corporacion America Airports SA

CAAP: Argentina extended CAAP’s largest concession through 2056, dollarized tariffs and agreed to a 14.3% return with triennial reviews; the 15% concession fee now funds investment trusts, while CAAP retains a $600 million direct commitment. At $26, CAAP trades near 5.5x EBITDA versus 9-12x for European airport majors, with roughly 18% modeled annual probability-weighted return; net debt is projected to disappear within two years despite dividends. Risks: weaker traffic, single-till upside limits and unresolved review mechanics.

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