+
Adani plans to launch IPO of its airport business
AVIATION & AIRPORTS

Adani plans to launch IPO of its airport business

Adani Group has started initial talks to divide its airport business from holding entity Adani Enterprises Ltd (AEL) in a bid to enter the entity separately.

Including investments in transportation, infrastructure, utilities, and energy, the Multinational conglomerate company is expected to raise $500 million through a private placement of shares in Adani Airport Holdings before an Initial Public Offering (IPO).

The group also took charge of the second-busiest airport, Mumbai, India and six local facilities and expected a valuation of Rs 25,500-29,200 crore for the business.

The group entered the airport sector in 2019. The multinational company has made its presence in the airport business within two years. Earlier, Adani Airports won the mandate to improve and operate six airports: Ahmedabad, Jaipur, Lucknow, Mangaluru, Guwahati, and Thiruvananthapuram.

Furthermore, in February this year, Adani Airport Holdings Ltd (AAHL) acquired an extra 23% stake in Mumbai International Airport Ltd. (MIAL), which controls the Chhatrapati Shivaji Maharaj International Airport.

And this gave Adani ownership of the upcoming Navi Mumbai Airport, where it holds a 74% stake.

Adani Airports has a debt of Rs 4,100 crore, while AEL amounts to Rs 15,293 crore.

According to the Chief financial officer (CFO), Robbie Singh, in the next three-five year plan, the group will have a total Capex in the airports of Rs 30,000 crore estimated, and the debt from that would be Rs 20,000 to 21,000 crore.

After airports, the group is moving forward into the business of developing railway stations, and the Indian Railway Stations Development Corporation Ltd (IRSDC) has shortlisted the Adani group and few more proposals to reconstruct the Chhatrapati Shivaji Maharaj Terminus (CSMT) railway station in Mumbai.

However, the group has a total debt of over Rs 1.47 lakh crore, following various acquisitions in the power, airport, and port sectors.

The group has an overall debt of over Rs 1.47 lakh crore, following several acquisitions in the port, power and airport sectors.

Previously, the group had hived off several subsidiary businesses: Adani Power Transmission, Adani Green, and Adani Total Gas.

Currently, Adani Enterprises shares traded 0.42% higher at Rs 1,601.35.

In the last year, the group's shares have rallied 957%.

Image Source


Also read: Adani’s MIAL takeover approved by AAI

Also read: Deloitte appointed as consultant for Nagpur airport privatisation

Adani Group has started initial talks to divide its airport business from holding entity Adani Enterprises Ltd (AEL) in a bid to enter the entity separately. Including investments in transportation, infrastructure, utilities, and energy, the Multinational conglomerate company is expected to raise $500 million through a private placement of shares in Adani Airport Holdings before an Initial Public Offering (IPO). The group also took charge of the second-busiest airport, Mumbai, India and six local facilities and expected a valuation of Rs 25,500-29,200 crore for the business. The group entered the airport sector in 2019. The multinational company has made its presence in the airport business within two years. Earlier, Adani Airports won the mandate to improve and operate six airports: Ahmedabad, Jaipur, Lucknow, Mangaluru, Guwahati, and Thiruvananthapuram. Furthermore, in February this year, Adani Airport Holdings Ltd (AAHL) acquired an extra 23% stake in Mumbai International Airport Ltd. (MIAL), which controls the Chhatrapati Shivaji Maharaj International Airport. And this gave Adani ownership of the upcoming Navi Mumbai Airport, where it holds a 74% stake. Adani Airports has a debt of Rs 4,100 crore, while AEL amounts to Rs 15,293 crore. According to the Chief financial officer (CFO), Robbie Singh, in the next three-five year plan, the group will have a total Capex in the airports of Rs 30,000 crore estimated, and the debt from that would be Rs 20,000 to 21,000 crore. After airports, the group is moving forward into the business of developing railway stations, and the Indian Railway Stations Development Corporation Ltd (IRSDC) has shortlisted the Adani group and few more proposals to reconstruct the Chhatrapati Shivaji Maharaj Terminus (CSMT) railway station in Mumbai. However, the group has a total debt of over Rs 1.47 lakh crore, following various acquisitions in the power, airport, and port sectors. The group has an overall debt of over Rs 1.47 lakh crore, following several acquisitions in the port, power and airport sectors. Previously, the group had hived off several subsidiary businesses: Adani Power Transmission, Adani Green, and Adani Total Gas. Currently, Adani Enterprises shares traded 0.42% higher at Rs 1,601.35. In the last year, the group's shares have rallied 957%. Image Source Also read: Adani’s MIAL takeover approved by AAI Also read: Deloitte appointed as consultant for Nagpur airport privatisation

Next Story
Infrastructure Urban

Budget Proposal Aims to Boost Investments

The recent budget proposal has introduced measures designed to promote investments and generate job opportunities across various industries, as reported by the Economic Times. This initiative seeks to stimulate economic activity and strengthen the country's growth trajectory by encouraging both domestic and foreign investments. Key aspects of the proposal include targeted incentives for sectors poised for expansion, such as renewable energy, infrastructure, and technology. The government aims to create a more favorable investment climate by offering tax benefits, subsidies, and streamlined reg..

Next Story
Infrastructure Urban

DGTR Proposes Anti-Dumping Duty on Aluminium

The Directorate General of Trade Remedies (DGTR) has proposed imposing an anti-dumping duty of up to Rs.577 per tonne on aluminium frames imported from China, as reported by the Economic Times. This move aims to address concerns about unfair trade practices and protect the domestic aluminium industry from the adverse effects of low-cost imports. The proposed anti-dumping duty comes in response to allegations that Chinese aluminium frames are being sold in the Indian market at prices below fair market value. Such practices are deemed harmful to domestic manufacturers, potentially leading to ma..

Next Story
Infrastructure Urban

Indian Financial System Resilient Amidst Challenges

The Reserve Bank of India (RBI) Deputy Governor M. Rajeshwar Rao has emphasized the robust nature of the Indian financial system despite global economic headwinds, according to Economic Times. Rao?s comments reflect confidence in the stability and resilience of India's financial sector amidst a backdrop of international economic uncertainties and financial volatility. Rao highlighted that India?s financial system is well-equipped to handle external shocks due to its solid regulatory framework and prudent risk management practices. The country?s banking sector has demonstrated resilience throug..

Talk to us?