GMR to buy 10 percent more stake in Delhi airport for $79 mn

GMR Airports Ltd (GAL), a subsidiary of GMR Infrastructure Ltd, has entered into an agreement to acquire 10 percent equity in Delhi International Airport Private Ltd (DIAL) from Malaysia Airports (Mauritius) Private Ltd (Malaysia Airports) for a consideration of $79 million.

Under the agreement, GAL will acquire 24,50,00,000 shares of face value of Rs.10 each, representing 10 percent.

DIAL is a special purpose vehicle formed to carry out development, operation and management of Delhi's Indira Gandhi International Airport.

GAL currently holds 54 percent equity stake in DIAL and post proposed acquisition of the entire stake of Malaysia Airports, the stake will increase to 64 percent, said a statement by GAL.

"The acquisition has largely been precipitated by the desire of MAHB to exit and our intent of consolidation of stake in the prime airport of India. The acquisition is subject to approval of Airports Authority of India (AAI) and other customary approvals," said GAL's president and CFO Sidharath Kapur.