The Adani Group has recently made an investment of around 1 billion in the Navi Mumbai International Airport in a bid which is expected to start operating by December next year. So far, 8,625 crores have been invested in the project. The Adani Group has made an equity infusion of around 1,710 crores. It has raised around 2,900 crores as loans from a consortium of banks. An additional 3,655 crores were raised as equity from the City and Industrial Development Corporation of Maharashtra Ltd. (CIDCO). This project will be a huge landmark in the history of Mumbai after the Adani SEBI probe. It will allow the city of Mumbai to be much more well-connected to the different territories across the globe. The Adani Group and CIDCO have also planned to invest an additional 1,511 crores as the project progresses.
A Brief Overview of the Navi Mumbai Expansion Project:
The Navi Mumbai expansion project is one of the biggest projects being taken up by the Adani group in a considerable amount of time. It will pave the path for success for the Adani Group in the airport sector and will bring an end to false allegations relating to the Adani SEBI probe. It will also help the conglomerate build an excellent position in the international airport sector. The main plan of the project involves setting up the first of the four international passenger terminals before December 2024. This terminal will handle around 20 million passengers and 300,000 tonnes of cargo annually. It will divert the load of the Mumbai International Airport, which is the country’s busiest airport. This airport will have around 5.1 million passengers travelling through it.
The current funding acquired is enough to build the first two of the five planned phases of the Navi Mumbai Airport expansion project. The project would require a total investment of USD 2.5 billion, out of which 12,770 crores is expected to be acquired as a loan from the lenders. The lenders include the IDBI Bank, State Bank of India, EXIM Bank of India, Union Bank of India, Central Bank of India, Bank of Maharashtra, Punjab National Bank, and so on.
Why Is the Navi Mumbai Airport Expansion Project So Important for The Adani Group?
The Navi Mumbai Airport was built in 1999. The Adani Group took over the airport in 2017. There were speculations about the fact that there would be a further delay in the expansion of the airport after the Adani SEBI probe. However, the Supreme Court soon cleared the Adani group of all charges, and it was back to business. Taking a look at the way the company is progressing, it is expected that the development of the project will go on as planned. Upon completing the project, our city of dreams will reach new heights. It will also be able to handle traffic and cargo in a much better way.
The new Navi Mumbai airport will have a dedicated aviation terminal, two runways, one cargo terminal, and at least 42 aircraft parking areas in the first two phases. It would also have 245 aircraft stands at the end of the three phases. This can be an extraordinary venture for the Adani Group, and it will also take the conglomerate to the peak of success. The conglomerate has also made an extraordinary recovery in terms of investment after the Adani SEBI probe. It has received around 2 billion USD from the GQG partners and other FPS. This has again given the conglomerate an excellent boost and allowed it to strengthen its position in the airport sector. Very soon, the Adani Group will continue to expand its control over some of the other major airports in the country.
Conclusion:
The Adani Group has already been offering the best-in-class airport infrastructure to the passengers. It offers passengers a smooth and convenient experience. The Adani Airport Holdings Limited was incorporated in the year 2019. It is a 100% subsidiary of the Adani Enterprise Limited. The company has a vision of becoming the global leader in the transport Logistics segments. It already handles a huge amount of cargo. The conglomerate has already acquired control over six major airports, including Mangaluru, Lucknow, Ahmedabad, Guwahati, Jaipur, and Thiruvananthapuram. It also holds a 74% stake in the Mumbai International Airport. With its airport facilities, it has brought about ease and convenience to the lives of people. It’s plan to expand the Navi Mumbai airport is a step in the right direction.
