GMR Airports Infrastructure Limited (Formerly GMR Infrastructure Limited) (GIL) introduced the approval with the aid of using its board of the composite scheme of amalgamation and association of GMR Airports Limited (GAL) with GIL (Merger). It will raise ₹2,900 crore from Aéroports de Paris SA (Groupe ADP) thru 10-12 months FCCB. GMR Group will stay because the Single Largest Shareholder & in Management Control of GIL.
“..Entering right into a Strategic Partnership with Groupe ADP in early 2020 to create a international elegance airport platform wherein Groupe ADP agreed to buy 49% stake in GAL. At the time of the transaction, Groupe ADP had pegged fairness earnouts of ~8% of GAL and coins earnouts of ₹1,060 Cr to GIL," the agency stated in an alternate filing.
Aéroports de Paris and GMR Airports Infrastructure Ltd. agreed to fold their joint-project agency into GMR, giving ADP a liquid stake in a commercial enterprise that owns airfields in India. ADP and GMR Airports Infrastructure personal 49% and 51%, respectively, of the unlisted GMR Airports Ltd.
Combining GMR Airports Infrastructure and GMR Airports will simplify the capital shape of the unlisted agency, permitting the blended entity to extra without difficulty seize new commercial enterprise, the organizations stated.
The merger will take vicinity withinside the first 1/2 of of 2024, the organizations stated. ADP might keep a 45.7% stake withinside the blended GMR Airports Infrastructure and GMR Airports.
“Demand for air tour has picked up substantially, with a view to accelerate airport privatization projects of the respective governments throughout the international," GMR stated in a separate statement.
ADP will invest €331 million ($353 million) in overseas foreign money convertible bonds issued with the aid of using GMR Airports Infrastructure, with the proceeds utilized by the Indian agency to clean its stability sheet with the aid of using repaying company debt and additionally settling a primary a part of its liabilities. The funding will cause a coins cost of the equal quantity withinside the coming weeks, ADP stated.