GMR Airports Infrastructure Ltd. has announced plans to acquire 10% equity stake in Delhi International Airport Ltd. from Fraport AG Frankfurt Airport Services Worldwide. This acquisition will raise GIL's total stake in DIAL to 74% from the existing 64%, further consolidating its control over the airport. The Airports Authority of India will continue to hold the remaining 26% equity.
The acquisition, agreed upon for $126 million, was formalised through a share purchase agreement between GIL and Fraport. While Fraport will divest its equity stake, its role as the airport operator will remain intact under the Airport Operator Agreement.
The transaction is expected to conclude within 180 days, subject to approval from the AAI, GIL shareholders, and the completion of customary closing conditions.
“The acquisition of additional stake in DIAL is in line with our objective of consolidating our presence in core assets of the group and signifies the importance of Delhi airport in the overall group portfolio,” said Kiran Kumar Grandhi, corporate chairman of GMR Group, in a press release.
“Fraport has been one of the original shareholders and have been our partners in airport journey. They have extended significant technical support to Delhi Airport as per their role of Airport Operator,” said G. B. S. Raju, business chairman (airports) at GMR Group.
As Fraport holds 10% stake in DIAL, the transaction will need to meet requisite norms under the Securities and Exchange Board of India.
GIL is a global company that deals in airport infrastructure with a strong presence in sustainable airport operations. Shares of the company closed 0.15% lower at Rs 90.89 per share, compared to a 0.34% advance in the NSE Nifty 50. The stock has risen 41.24% year-to-date and 12.84% over the past 12 months.
GST Council Meeting Live: No Discussion Took Place For Tax Imposition On Online Gaming Companies, Says FM. Read more on Business News by NDTV Profit.