Mumbai: The Adani Group has officially taken over the administration of the Mumbai International Airport from the GVK Group at a time when the aviation sector is at an all-time low due to the outbreak.
Adani Airport Holdings will now control 33 percent of India’s aviation freight traffic with the acquisition of Mumbai airport.
Following the stake purchase agreement, Adani Group will own 74 percent of Mumbai’s Chhatrapati Shivaji Maharaj International Airport, with 50.5 percent coming from GVK Group and 23.5 percent coming from minority partners such as Airports Company South Africa (ACSA) and Bidvest Group.
Adani Airport Holdings Ltd (AAHL), a subsidiary of Adani Enterprises Ltd, predicts a boom in air traffic in India following the epidemic. Global passenger traffic is expected to climb to 88 percent of pre-Covid levels by 2022, and even higher by 2023, according to IATA (International Air Transport Association).
“Our bigger goal is to reimagine airports as ecosystems that support local economic growth and serve as catalysts for aviation-related industries.”
These include entertainment facilities, e-commerce and logistics capabilities, aviation-related sectors, smart city developments, and other new business concepts, according to Gautam Adani, Chairman of the Adani Group.
“In a hub-and-spoke model, our airport growth strategy aims to connect our country’s Tier 1 cities with Tier 2 and Tier 3 cities. This is critical for bridging India’s urban-rural divide and making foreign travel more fluid and easy.”