If Ryanair wins the auction, it will lease the land plot for the construction of an aircraft storage and maintenance hangar for a 50-year period.
Jonas Gurskas, Development Director at Kaunas Airport, told BNS that the auction had only one bid. However, he refused to confirm that it was submitted by Ryanair.
The bid would be assessed within a fortnight and, if found compliant with the requirements, a contract would be signed, Gurskas said.
In line with the terms of the auction, the revenues of potential participants on commercial and/or cargo transportation by air shall be at least 200 million litas (EUR 57.97 m) within every last three years, and their own capital shall be at least 10 million litas.
Last November, the Economy Ministry and Michael Hickey, Director of Engineering at Ryanair, signed a letter of intent on Ryanair’s investments. As reported then, the air carrier would invest 12 million litas (EUR 3.48 m) in the center. Further 4.143 million litas were planned to be allocated from the European Union’s (EU) structural funds. As planned, Ryanair‘s center will employ a workforce of 60.
The hangar has to be of appropriate size to accommodate at least one Boeing 737 type aircraft or other type/model aircrafts of similar size. Moreover, the construction of the hangar shall be finished within twelve months.
Ryanair has MRO units in the United Kingdom and Germany.