Privatization of INTERCARGO: a key transformation for the Argentine airport sector – Barreiro

Analysis of Resolution 1067/2025 issued by the Ministry of Economy

Full Privatization of INTERCARGO S.A.U.

Legal Framework and Background

The resolution is primarily based on the following:

Law No. 27.742, which declares INTERCARGO S.A.U. subject to privatization.
Law No. 23.696, which regulates the modalities for privatizing public enterprises.
Decree No. 198/2025, which expressly authorizes the privatization.
Decree No. 695/2024, which provides the applicable regulatory procedures.
Resolution 7417/1990, which sets the framework for the original concession contract for ramp services.

With this resolution, the operational procedure is officially launched, aiming at the transfer of 100% of the share capital of INTERCARGO, a state-owned company that holds the exclusive right to provide ground handling (ramp) services at airports across the country.

Privatization Process Overview

Full Privatization via Public Tender

The State will sell 100% of its shares in the company.
The process will be carried out through national and international public bidding, opening the opportunity to foreign investors.

Pre-conditions for the Sale

The existing concession agreement between the State and INTERCARGO must be terminated by mutual agreement to ensure that the purchaser acquires the company free of contractual obligations.
The termination must ensure the continuity of airport services during the transition.

Asset Valuation and Share Package

The National Appraisal Tribunal has stated that it cannot carry out a full valuation of the company within a reasonable timeframe.
As a solution, the valuation of the share package will be assigned to a public sector bank.
This valuation will serve as the official budgetary reference, as required by Law 23.696.

Key Institutional Roles

Ministry of Transport:

Update the inventory of INTERCARGO’s tangible and intangible assets.
Draft the technical and contractual bidding documents.
Lead the termination of the current concession agreement.
Ensure national and international air connectivity is not disrupted.

Special Temporary Executive Unit – Agency for the Transformation of State-Owned Enterprises:

Coordinate the entire privatization process.
Oversee the bidding procedure alongside the Ministry.
Commission the official valuation through a public financial institution.

Undersecretariat of Air Transport:

Ensure continuity of ramp services throughout the transition period.

Timeline and Platform

The process must be completed within 8 months of the resolution’s effective date.
All procedures will be conducted via the CONTRAT.AR digital platform, as mandated by Decree 416/2025.

Critical Issues and Considerations

No employee stock ownership program or special benefits for workers are foreseen, which may lead to union tensions.
The operation prioritizes efficiency, speed, and deregulation to achieve results within a short timeframe.
The State’s withdrawal from ramp services, which INTERCARGO has provided since 1990, implies a restructuring of Argentina’s airport system, potentially impacting operational safety, airline costs, and employment.
The indirect valuation (via public bank) and early termination of the concession contract could be subject to political or legal scrutiny.

Conclusion

Resolution 1067/2025 marks a decisive step in the privatization of Argentina’s airport infrastructure sector. It initiates the full sale of INTERCARGO, a key player in the country’s commercial aviation ecosystem. The main challenge lies in executing this transformation on time and transparently, while ensuring operational continuity, legal clarity, and investor confidence.

At BARREIRO, we offer comprehensive legal support to companies interested in participating in privatization processes — from regulatory and technical analysis to bid structuring and representation.

If you would like to explore this opportunity or assess the associated legal risks, we’re here to help.