GVK acquires 12 percent stake in Bangalore airport

GVK Power and Infrastructure has approved a 12 percent stake acquisition in Bangalore International Airport Ltd from Zurich Airport for Rs.484 crore, the company said here Thursday.

The acquisition will be done through GVK Airport Developers, a wholly-owned subsidiary of GVK Power and Infrastructure, a leading infrastructure developer and also one of the promoters of Mumbai International Airport Ltd.

The acquisition of the airport's shares is in line with GVK's plans to expand its airport development business in India and mark its presence in south India, a fast-growing aviation market.

Simultaneously, GVK has also entered into a strategic alliance with Zurich Airport, which is part of a consortium that operates the airport.

The two parties will now collaborate and cooperate to jointly pursue airport development projects in the Indian sub-continent, said GVK Power and Infrastructure chairman and managing director G.V. Krishna Reddy.

"The acquisition and the strategic alliance with Zurich Airport heralds the beginning of a new era in GVK's airports business and will provide the impetus to grow into new markets and territories," Reddy noted.

GVK Power and Infrastructure is among India's largest infrastructure developers with experience and expertise spanning areas including power, airports, roads, oil and gas and urban infrastructure.

Till date, it has invested over Rs.5,000 crore in various businesses and has projects in the pipeline worth over Rs.12,000 crore.

Last updated on Nov 5^th, 2009 at 14:53 pm IST--IANS