Deloitte appointed as consultant for Nagpur airport privatisation

08 Jun 2021 CW Team

State-owned Mihan India (MIL), the company that operates Nagpur Airport, has selected Deloitte India as its new transaction advisor for the privatisation process of the airport.

Previously, Ernst and Young was given the task. Last year, however, the entire process, in which GMR Airports had emerged as the highest bidder, was cancelled.

According to MIL, the privatisation process will begin all over again under Deloitte. Abid Ruhi, the airport director, confirmed this development.

Deloitte will be compensated around Rs 75 lakh for providing the roadmap for the airport's privatisation.

According to a source, Ernst and Young, which had a similar assignment, was paid a slightly higher fee. The project had been bid on by four other consultancies.

Deloitte was recently appointed as a consultant to the Airports Authority of India (AAI) for the privatisation of six airports.

MIL was supposed to get a revenue share from the private player's gross earnings under the previous model. According to a source, there is now a broad plan to implement a revenue-sharing model on a per-passenger basis.

MIL is a venture of Maharashtra Airport Development Company (MADC) and the AAI. MIL had invited bids for offloading a 74% stake as part of the plan to develop Nagpur airport under the Mihan project.

The private player, on the other hand, is expected to invest in the airport's infrastructure. The entire process would now begin anew, with Deloitte proposing airport privatisation modalities on the basis of which new tenders would be issued.

The consultant's preliminary report is expected to be filed in 45-50 days.

Last year, the tender for GMR Airport was cancelled since the percentage share of revenue it gave to MIL was lower than the latter's earnings. MIL had accepted GMR's offer to share over 14% of its revenue. This was a fraction of what MIL made from the airport operations on its own.

Covid has taken a significant toll on the airport's revenue at the moment. The daily passenger traffic has dropped to 2,000, which is 25% lower than pre-Covid levels.

Despite the fact that traffic had recovered following the first wave, the second wave saw a dramatic drop, according to sources.

Image Source

Also read: Next stage of airport privatisation to begin in April

Also read: Adani’s MIAL takeover approved by AAI

State-owned Mihan India (MIL), the company that operates Nagpur Airport, has selected Deloitte India as its new transaction advisor for the privatisation process of the airport. Previously, Ernst and Young was given the task. Last year, however, the entire process, in which GMR Airports had emerged as the highest bidder, was cancelled. According to MIL, the privatisation process will begin all over again under Deloitte. Abid Ruhi, the airport director, confirmed this development. Deloitte will be compensated around Rs 75 lakh for providing the roadmap for the airport's privatisation. According to a source, Ernst and Young, which had a similar assignment, was paid a slightly higher fee. The project had been bid on by four other consultancies. Deloitte was recently appointed as a consultant to the Airports Authority of India (AAI) for the privatisation of six airports. MIL was supposed to get a revenue share from the private player's gross earnings under the previous model. According to a source, there is now a broad plan to implement a revenue-sharing model on a per-passenger basis. MIL is a venture of Maharashtra Airport Development Company (MADC) and the AAI. MIL had invited bids for offloading a 74% stake as part of the plan to develop Nagpur airport under the Mihan project. The private player, on the other hand, is expected to invest in the airport's infrastructure. The entire process would now begin anew, with Deloitte proposing airport privatisation modalities on the basis of which new tenders would be issued. The consultant's preliminary report is expected to be filed in 45-50 days. Last year, the tender for GMR Airport was cancelled since the percentage share of revenue it gave to MIL was lower than the latter's earnings. MIL had accepted GMR's offer to share over 14% of its revenue. This was a fraction of what MIL made from the airport operations on its own. Covid has taken a significant toll on the airport's revenue at the moment. The daily passenger traffic has dropped to 2,000, which is 25% lower than pre-Covid levels. Despite the fact that traffic had recovered following the first wave, the second wave saw a dramatic drop, according to sources. Image Source Also read: Next stage of airport privatisation to begin in April Also read: Adani’s MIAL takeover approved by AAI

Infrastructure Transport

17 Sep 2025

Titagarh Rail Systems Launches Third Diving Support Craft for Indian Navy

Titagarh Rail Systems (TRSL) marked another milestone in its shipbuilding journey with the launch of the third indigenously built Diving Support Craft (DSC) for the Indian Navy. The vessel is part of a series of five DSCs being constructed by TRSL under the Ministry of Defence’s Make in India initiative.The launch ceremony was graced by Kangana Berry, wife of Vice Admiral Suraj Berry, AVSM, NM, VSM, Commander-in-Chief, who performed the traditional naming and launch. The vessel was side-launched into the Hooghly River at 16:10 hrs.Diving Support Crafts are catamaran-type vessels designed wit..

Infrastructure Transport

17 Sep 2025

Concord Control Systems Secures First Kavach 4.0 Order via Progota India

Concord Control Systems (CNCRD), a leading manufacturer of embedded electronic systems and critical electronic solutions, has secured its first order for Kavach 4.0 through associate company Progota India. Valued at Rs 190.45 million, the order represents the start of large-scale implementation opportunities for advanced railway safety systems in India.With this milestone, Concord will become one of the few railway companies to have a fully developed Kavach system approved for supply to Indian Railways. The next-generation Kavach has successfully advanced through the stringent approval journey..

Infrastructure Urban

17 Sep 2025

Awfis Delivers 67,000 sq ft Innovation Hub for eBay in Bengaluru

Awfis Space Solutions, India’s largest flexible workspace provider and the country’s first publicly listed workspace solutions platform, has added eBay to its growing list of prestigious global capability centre (GCC) clients. Awfis has designed, built, and will manage a ~67,000 sq ft innovation hub for eBay at Embassy Tech Village, Bengaluru, supporting the e-commerce leader’s AI-first commerce strategy.The new centre will function as a strategic hub, advancing artificial intelligence, engineering, product development, and applied research, while further strengthening eBay’s growth in..