Adani Group to buy 74% stake in Mumbai Airport, Gautam Adani’s company to become the country’s second-largest operator with this deal.
Led by eminent businessman Gautam Adani, Adani Group will buy a 74% stake in Mumbai International Airport Limited (MIAL). They have an agreement between Adani Group and GV K Group. MIAL is the second largest airport in the country. Adani Group provided this information in a regulatory filing.
Adani Group to buy 50.5% stake in GVK Group
According to regulatory filings, Adani Group will buy a 50.5% stake in GV K Group. In addition, Adani Group will buy a 23.5 percent stake in South African Airports Company (ACSA) and Bidvest. Mumbai Airport has a 10 percent stake in ACSA and a 13.5 percent stake in Bidvest. With the deal, Adani Group will be the second-largest private operator in the country. besides MIAL, Adani Group has six other airports. GMR Group operates the largest airport operators in the country, Delhi and Hyderabad.
Adani Group to repay the full loan of GVK airport developers
Under the agreement between the two companies. Adani Group will pay the full debt of the developer of GVK, which operates Mumbai Airport. However, the entire debt will turn into equity Both companies did not provide details of the deal. Adani Airport Holding Limited said it would provide funding for the need for liquids in MIAL. Funding also is available for the financial closure of Navi Mumbai Airport.
GVK Deal with Adani Group despite selling shares to foreign investors.
Despite selling the shares to foreign investors. GVK Group has agreed to sell the shares of Mumbai Airport to the Adani Group. The Consortium of India’s Global Fund, led by the Abu Dhabi Investment Authority of the UAE’s Universal Fund. The Canadian Public Sector, Pension (PSP), held a joint venture with GVK Group to buy shares at MIAL in October 2019. The consortium has now issued a legal notice to GVK Group, saying it violated the agreement to sell Mumbai airport to Adani Group.