Adani group to acquire controlling interest in Mumbai airport1 min read . Updated: 31 Aug 2020, 09:36 AM IST
- Adani Airport Holdings Limited will acquire the debt of GVK ADL from its airport lenders
- GVK ADL is the holding company through which GVK Group holds 50.50% equity stake in Mumbai International Airport Limited
Adani Airport Holdings Limited (AAHL), the holding company of Adani Group for its airports business and a subsidiary of Adani Enterprises Limited) has entered into an agreement to acquire the debt of GVK Airport Developers Limited (GVK ADL).
GVK ADL is the holding company through which GVK Group holds 50.50% equity stake in Mumbai International Airport Limited (“MIAL"), which in turns holds 74% equity stake in Navi Mumbai International Airport Limited
According to the agreement, Adani Airport will acquire the debt of GVK ADL from its airport lenders.
The GVK Group and Adani Airport have agreed that Adani Airport will offer a stand-still to GVK, in addition, to release of the guarantee given by GVK Power and Infrastructure Limited with respect to the debt acquired by it.
The Adani Group will also take steps to complete the- acquisition of a 23.5% equity stake from ACSA and Bidvest in MIAL for which it has obtained CCI approval.
Upon the acquisition of the debt of GVK ADL, Adani Group will take steps to obtain necessary customary and regulatory approvals, as may be required, to acquire controlling interest in Mumbai International Airport.
Adani Airport intends to infuse funds into Mumbai International Airport to ensure that MIAL receives much needed liquidity and also achieves financial closure of Navi Mumbai International Airport to be able to commence construction, Adani Enterprises said in a statement.