Arcus and GIP join list of bidders for Edinburgh airport

The giant funds and asset acquirers will be the latest to join the £600 million bid battle for the airport, which has already attracted interest from private equity firm Carlyle Group and a pair of Scottish business leaders who are pulling together separate consortia.

Earlier this year Arcus acquired Forth Ports in a £746m deal, part of a commitment to investing in major infrastructure assets across Europe.

Arcus European Infrastructure Fund 1, its first fund, is unlisted and has more than ¤2 billion of commitments backed by 40 institutional investors.

Aviation analysts are now convinced that GIP, which bought Gatwick from BAA, will also make an offer despite earlier suggesting that it would not be interested.

Edinburgh was put on the market last month after the Competition Commission ordered BAA to sell one of its Scottish airports ahead of disposing of Stansted.

The market was surprised that it opted for the capital over Glasgow, but the level of interest may vindicate its decision.

Scotland on Sunday revealed four weeks ago that Edinburgh investment banker Ben Thomson and former Edinburgh airport managing director Richard Jeffrey were talking to investors and other business leaders. Thomson later declared that he had access to finance.

The US-based Carlyle Group is also pulling a bid together which is almost certain to involve a number of Scottish business leaders, including Sir Brian Souter. It is being advised by the merchant banker Sir Angus Grossart.