Adani signs concession agreement with AAI for 3 airports

Adani Enterprises said on Friday it has signed concession agreements with Airports Authority of India (AAI) for operations, management and development of Ahmedabad, Lucknow and Mangaluru airports.

The concession period is 50 years from the commercial operation date, according to an official statement.

The pacts were signed by its subsidiary companies Adani Ahmedabad International Airport Ltd, Adani Lucknow International Airport Ltd and Adani Mangaluru International Airport Ltd.

In August last year, the Adani Group added another revenue stream by entering the airports space and set up a new company called Adani Airports Ltd.

The new company's aim includes acquiring, promoting, operating, maintaining, developing, designing, constructing, upgrading, modernising, renovating, expanding and managing airports in India and abroad.

A year ago, the Adani Group had won a mandate to run all six government-owned airports that were put up for privatisation.

It bagged a 50-year contract for the operation, management and development of airports in Ahmedabad, Lucknow, Jaipur, Guwahati, Thiruvananthapuram and Mangaluru to become the third largest private airport operator after GMR Group and GVK Group.

The six airports together handled 30 million passengers -- 23.6 million domestic and 6.4 million international -- last fiscal year, marking a growth of 22 per cent over the previous year.

In November 2018, the government had cleared the privatisation of these six airports under the Airports Authority of India on public-private partnership model.

The Adani Group is an integrated business conglomerate in India which consists of six publicly traded companies with combined revenues of 13 billion dollars (about Rs 90,000 crore).

With a presence in agri logistics, bunkering, coal and mining, defence and aerospace, edible oil and food products, it has global footprints across Australia, Bangladesh, China, Dubai, Indonesia, Myanmar, Singapore and the United States.

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