GVK Airport Holdings Ltd, a subsidiary of publicly traded GVK Power and Infrastructure Ltd, has acquired a 13.5% stake of Bid Services Division (Mauritius) Ltd (subsidiary of Bidvest Group Ltd), in Mumbai International Airport Ltd (MIAL). With this, GVK’s stake in MIAL increased to 64%, the company said in a stock exchange notification on Saturday. GVK Airport exercised its right to acquire 162 million equity shares of MIAL from Bidvest at ₹77 per share, the company added.
GVK group’s move comes amid reports that Adani Group was interested in picking up the stake in MIAL. Mumbai airport, India’s second-largest in terms of passengers and flights, handled 48.5 million passengers in 2018, according to data from the Association of Private Airport Operators. In June 2018, the airport had witnessed a record 1,003 flight movements in 24 hours, to break its own previous record of 980 flights a day in February 2018.
However, the airport faces massive congestion issues that have resulted in flight delays. According to a report from UK-based consultancy OAG, only 60.4% of the total departures from Mumbai airport in December 2018 were on time.