A day after claiming highest bids for five Airports Authority of India (AAI) run airports, the Adani Group emerged as the highest bidder for taking over the operations of Guwahati airport too – sweeping the entire airport privatization program led by AAI.
The government had put up six AAI-run airports for privatisation under the public private partnership mode last year. On Monday, Adani Group was officially announced to be the highest bidder for 5 of the 6 airports that were put up for privatisation by the government. The operations of five airports: Ahmedabad, Jaipur, Lucknow, Thiruvananthapuram and Mangaluru airports will now be handed over to respective authorities. While the bidding for sixth airport of Guwahati was postponed for Tuesday – during which, the Adanis came out as biggest bidders.
With a price of Rs 160 as per passenger fee for Guwahati airport, the Adani beat the second highest bid of Rs 155 put jointly by National Investment and Infrastructure Fund (NIIF) and Zurich Airport International AG. Other bids were include Rs 136 and Rs 59 from AMP Capital and GMR Airport Ltd. respectively – and the lowest bid was from PNC Infratech of Rs 18. Hence, the selection of the winner of bid was made based on highest “per-passenger fee” offered to it. The six airports will be handed over to Adani Group after completion of formalities soon.
Besides Guwahati, the bids Adani offered per passenger fee is Rs. 177, Rs. 174, Rs. 171, Rs. 168 and Rs. 115 for Ahmedabad, Jaipur, Lucknow, Thiruvananthapuram and Mangaluru airports. Winning all six airports put up for privatisation has given the operation rights to Adani to for next 50-year to run these airports. This will diversify Adani’s business spectrum from ports, shipping, power and other key infrastructure with USD 11 billion annual revenue to domestic aviation.