The equity interest in BIAL owned by the Airports Authority of India (AAI) and Karnataka State Industrial and Infrastructure Development Corporation (KSIIDC) Limited remains unchanged at 13% each.
| Photo Credit: BHAGYA PRAKASH K
Fairfax India Holdings Corporation has entered into an agreement to acquire an additional 10% equity interest in Bangalore International Airport Limited (BIAL) from Siemens Project Ventures GmbH. BIAL is the operator of the Kempegowda International Airport (KIA).
On December 3, the company announced that, once the transaction is completed, Fairfax India’s equity interest in BIAL will increase from 64% to 74% (30.4% to be held by a wholly-owned subsidiary and 43.6% to be held by its subsidiary Anchorage Infrastructure Investments Holdings Limited).
The equity interest in BIAL owned by the Airports Authority of India (AAI) and Karnataka State Industrial and Infrastructure Development Corporation (KSIIDC) Limited remains unchanged at 13% each.
The transaction is expected to close in the first quarter of 2025 upon which the additional 10% equity interest in BIAL will be acquired by Fairfax India for $255.0 million.
The purchase price will be payable in three installments, with the initial installment to be paid on the closing date in Q1 2025. The second and third installments are to be paid on or around August 31, 2025 and July 31, 2026, respectively. The transaction is subject to approval by Fairfax India’s shareholders in accordance with the terms of the company’s by-laws, third party consent, and other customary closing conditions, according to information shared by Fairfax.
“We would like to thank Siemens for the great partnership we have enjoyed since our initial investment in BIAL in 2017. This additional investment in BIAL is a testament to our belief in the continued growth opportunities presented by BIAL and a phenomenal track record demonstrated by Hari Marar and his management team in capitalising on those opportunities,” said Fairfax India founder Prem Watsa.
Fairfax India intends to seek the requisite approval from shareholders for the transaction at a special meeting expected to be held in January 2025.
Published – December 04, 2024 11:10 am IST
