Philippine conglomerates San Miguel Corp and JG Summit Holdings have been disqualified from bidding for an expansion project at Mactan-Cebu International Airport.
In a document for prospective bidders, Philippines' department of transportation and communications and Mactan-Cebu International Airport Authority state that the bidder "cannot be an entity providing air transport services [airlines] in the Philippines, be they domestic or international". Neither can they have any interests in such an entity.
This means that San Miguel, which holds a 49% stake in flag carrier Philippine Airlines and its low-cost partner Air Philippines, and JG Summit, parent of low-cost carrier Cebu Pacific, are automatically disqualified from bidding for the project.
Both conglomerates had previously expressed interests in the project.
The project, under the government's public-private partnership scheme, includes the construction of a new passenger terminal, which will have a capacity to handle 8 million passengers annually. It also includes the operation of the airport's old and new facilities.
Mactan-Cebu International Airport handles the second highest passenger traffic in the country, behind Manila's Ninoy Aquino International Airport.