Changi in race to buy GVK’s stakes in airport business
Hyderabad-based GVK Power and Infrastructure is in talks with five suitors including Singapore’s Changi Airport Group to sell a stake in its airport business.india Updated: Aug 13, 2013 21:11 IST
Hyderabad-based GVK Power and Infrastructure is in talks with five suitors including Singapore’s Changi Airport Group to sell a stake in its airport business.
GVK, which operates the Mumbai and Bangalore airports plans to raise around Rs. 2,500 crore by selling a minority stake of 30-35% in GVK Airport Holdings.
“The company is exploring various options for relieving some of its debt,” GVK Power and Infrastructure Ltd informed the Bombay Stock Exchange on Tuesday.
“An option that is being looked at is, raising equity at the Airport Holding Company, to retire the debt raised for the airport acquisition. The company is in discussion with a few investors in this matter. Since, the discussions are at a preliminary stage, it would not be appropriate for the company to divulge any details at this stage. No sooner the deal crystalises, the company would be in a position to inform the regulatory authorities on the same,” it said.
GVK handles a total traffic of 44 million passengers per annum. GVK will also develop two airports in Yogyakarta and Bali, Indonesia.
The Mumbai International Airport Ltd is currently implementing a master plan that has been designed to have an integrated passenger terminal at Sahar by 2013, to cater to a passenger traffic of 40 million per annum.