GMR Group will hike its stake in Hyderabad airport to 74 per cent by acquiring 11 per cent shareholding for USD 100 million from Malaysia Airports Holding Berhad (MHAB), which will be exiting the venture.
A regulatory filing on Wednesday said GAL, along with its affiliate, have entered into a Share Purchase Agreement (SPA) with MAHB and the latter's wholly-owned subsidiary MAHB (Mauritius) Pvt Ltd
GMR Group will hike its stake in Hyderabad airport to 74 per cent by acquiring 11 per cent shareholding for USD 100 million from Malaysia Airports Holding Berhad (MHAB), which will be exiting the venture.
GMR Hyderabad International Airport Ltd (GHIAL), a consortium led by GMR, is operating the Hyderabad airport. GHIAL is a subsidiary of GMR Airports Ltd (GAL).
A regulatory filing on Wednesday said GAL, along with its affiliate, have entered into a Share Purchase Agreement (SPA) with MAHB and the latter's wholly-owned subsidiary MAHB (Mauritius) Pvt Ltd.
The pact is for GMR Group's acquisition of an 11 per cent equity stake in the Hyderabad airport from MAHB Group, as per the filing by GMR Airports Infrastructure Ltd.
The acquisition, which is part of the GMR Group's efforts to consolidate its core assets, would be for a negotiated aggregate consideration of USD 100 million, the filing said.
"The transaction, subject to the customary closing conditions is expected to be concluded within a maximum of 135 days from the date of execution of the said SPA," the filing said.
Currently, GAL currently holds 63 per cent of the paid-up capital of GHIAL. Post-acquisition, GAL will have a 74 per cent shareholding in the Hyderabad airport, while the Telangana government and the Airports Authority of India (AAI) will continue to hold 13 per cent stake each.
GBS Raju, Business Chairman (Airports) of GMR Group, said MHAB has been one of the original shareholders and partners in the airport journey. "They have extended technical support during the initial years of both Delhi and Hyderabad airports."
Kiran Kumar Grandhi, Corporate Chairman of GMR Group, said the acquisition of an additional stake in GHIAL is in line with its objective of consolidating its presence in the core assets of the group.
GAL is a subsidiary of GMR Airports Infrastructure Ltd.
Apart from Hyderabad airport, GMR Group also operates the Delhi and New Goa airports.
GAL is developing and operating Kualanamu International Airport in Medan, Indonesia, and also providing technical services to Mactan Cebu International Airport in Cebu, Philippines. Also, it is developing the Bhogapuram airport and the Crete airport in Greece.