Adani Group, India’s second-largest airport operator through Adani Airports Holdings (AAHL), has set its sights on acquiring the remaining 26% stake in Mumbai’s Chhatrapati Shivaji Maharaj International Airport (CSMIA). Currently, the AAI holds this stake, and AAHL is looking to take complete control of Mumbai International Airport (MIAL), which operates CSMIA.
This news comes after AAHL acquired a majority stake in MIAL from the GVK Group in August 2020. AAHL has expressed its intent to be a major player in India’s growing aviation sector, and acquiring the remaining Mumbai airport stake aligns with this strategy.
Adani Interested in Mumbai Airport Only
While reports suggest Adani Group is keen to acquire AAI’s stake in Mumbai, they seem uninterested in pursuing similar acquisitions at other airports. The AAI holds minority stakes in Delhi, Hyderabad, and Bangalore airports as well. This selective interest by Adani Group could potentially lead to lower overall revenue for the government from airport privatizations.
Big Investments Planned for Mumbai Airport
Earlier reports indicated that Adani Group plans to invest a significant sum, ₹60,000 crore, in its airport business over the next decade. This excludes the ongoing development of the Navi Mumbai airport. The planned investment for MIAL will encompass various aspects of airport infrastructure development.
Government Decision on AAI Stake Sale Awaited
The Indian government’s decision on selling its remaining stake in MIAL and other airports will determine whether Adani Group’s plans come to fruition. AAI’s stake sale is part of the government’s national monetization pipeline, but a concrete decision is still pending.
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