GVK Power buys 12% in Bangalore Intnl Airport

GVK Power & Infrastructure announced that its Board of Directors approved the acquisition of 12% equity share capital of Bangalore International Airport Ltd. (BIAL) at a total cost of Rs4.85bn. GVK Airport Developers Pvt. Ltd. (GVKADPL) will purchase 46.1mn shares from Flughafen Zuerich AG. Zurich Airport is the original co-promoter of the new Bengaluru International Airport Ltd. (BIAL). The Swiss company will keep 5% stake in BIAL and continue to operate the 17-month-old airport. BIAL, built at nearly Rs25bn, is promoted by Siemens Project Ventures, Zurich Airport, L&T as 40:17:17 private sector partners; the Airports Authority of India and the Karnataka-owned KSIIDC hold 13% each. According to reports, the existing partners in BIAL had the first right of refusal for Zurich Airport’s stake. GVKADPL is a wholly owned subsidiary of GVK Power & Infrastructure Ltd (GVKPIL). The acquisition will be completed upon obtaining necessary consents. GVKPIL also entered into a Strategic Alliance Agreement (SAA) with Unique Airports Worldwide AG (Zurich Airport) to collaborate for new airport projects in Indian sub-continent.