Abu Dhabi SWF exits Gatwick race

Six consortiums have submitted bids of up to £2bn for Gatwick Airport, but the Abu Dhabi Investment Authority (ADIA), the world’s largest sovereign wealth fund, is understood to have dropped out, reports The Times. ADIA, which has assets of about $700bn, formally registered its interest in Gatwick last year, but did not submit an initial bid by Monday’s deadline of 3pm. The fund has spoken to other interested parties and is thought to be considering joining one of the consortiums in the coming months. Half a dozen consortiums submitted initial bids to RBS and HSBC, which are arranging the sale for BAA, the airports operator. However, the FT adds, bids are expected to be depressed both by the problems of finding sufficient debt finance - and the cost and terms of the debt - as well as by falling passenger traffic.