GMR Airports, the largest airport developer in India will be selling shares through an initial public offering in an effort to raise Rs 2,000 crore for two purposes. These purposes are for corporate expansion and provide funding for private equity shareholding exits in the firm.
The company owns the Delhi and Hyderabad airports in India and Sabiha Gokcen International Airport in Istanbul. According to two people familar with the transaction, who spoke on condition of anonymity, said that the listing is aimed to provide 'exit route to the investors as the company does not have immediate fund requirement.'
According to documents. GMR is breaking even on a net profit level and keeps such levels even when it is in Rs 4,000 crore debt. A GMR Airports spokesperson said through an email, "We are evaluating options of an potential IPO in GMR Airports and the issue size and details will be worked out later. One of the objectives is to provide an exit to PE investors."
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