GVK Power & Infrastructure (GVKPIL) has increased its stake in Bengaluru International Airport (BIAL) by acquiring 17% stake of L&T Infrastructure Development Projects for a total consideration of Rs 686 crore. The acquisition was priced at Rs 105 per share. Post this development, GVK now holds 29% stake in BIAL, having earlier bought 12% stake from Zurich for Rs 484 crore on November 5.
In the new equity structure of BIAL, Siemens is the largest shareholder at 40%, followed by GVK at 29%, Zurich Airport at 5% and the remaining 26% held equally by the Karnataka government and the Airports Authority of India.
The further investment in BIAL gives GVK substantial interest in two of India’s biggest airports – Mumbai International Airport and BIAL. This development also brings GVK on par with the other infrastructure player GMR Group that controls the Delhi and Hyderabad airports.
BIAL, which is one the latest greenfield airport projects in the country, started its operations in May 2007 and was built at a cost of Rs 2,470 crore. GVK, a leading infrastructure developer with interests spanning across power, airports, roads, oil and gas and urban infrastructure, has invested over Rs 5,000 crore in its various businesses and has on hand projects in the pipeline worth over Rs 18,000 crore.crackcrack
