Adani Group acquires 74% stake in Mumbai international airport

Mumbai Airport

New Delhi (NVI): The Adani Group today announced that it has acquired 74 per cent stake in Chhatrapati Shivaji Maharaj International Airport in Mumbai. This makes the group the second largest private operator in India after the GMR group, which operates the Delhi and Hyderabad airports.

This is the first major airport win for Adani Group, one of the largest homegrown conglomerate who has recently entered airport operation business in India.

In a filing with stock exchanges, billionaire Gautam Adani’s company said it will buy 50.5 per cent stake held by GVK Group and will take steps to acquire 23.5 per cent stake of minority partners – Airport Company of South Africa and the Bidvest Group, according to media reports.

Airports Company South Africa and Bidvest Group hold 10 per cent and 13.5 per cent stake respectively of the Mumbai International Airport.

In addition to this, the acquisition will also give the Adanis ownership of the upcoming Navi Mumbai Airport, in which Mumbai International Airport Limited holds 74 per cent stake.

Furthermore, Adani has already won bids to operate and manage development of six airports – Lucknow, Ahmedabad, Mangalore, Jaipur, Guwahati and Thiruvananthapuram.

Meanwhile, in March 2019, the Adani Group had agreed to acquire 13.5% stake of Bidvest Group for Rs 1,248 crore. However, GVK Group blocked the deal claiming the right of first refusal, but failed to buy stake in Bidvest, after which the matter went to court.

-CHK