GVK Power sells 33% stake in BIAL for Rs 2,202 crore

NEW DELHI: GVK Power & Infrastructure today said that it has divested 33 per cent stake in the Bangalore International Airport to FIH Mauritius and Fairfax India Holdings for Rs 2,202 crore to bring down its debt level.

The move would help the company to deleverage its balance sheet and to bring down our debt level, the company said in a statement.

Post divestment, G V Sanjeev Reddy would continue to be Managing Director of BIAL and GVK Reddy as Co-Chairman of the company, the statement said.

"We have obtained all the necessary consents / approvals as may be required including from the lenders and also followed the process in the BIAL shareholders agreement for the sale of 33 per cent stake in Bangalore International Airport Limited to FIH Mauritius Investments and Fairfax India Holdings Corporation," GVK Power & Infrastructure said.

It further added: "Now this sale transaction is completed in all respects."

Commenting on the development GVK Reddy said: "We reiterate that our primary focus on deliveraging our balance sheet and all proceeds from this stake sale shall be used to bring down our debt obligations to our lenders."

He further added: "We took forward to partnering with Fairfax and working with all the stakeholders in developing the Kempegowda International Airport through its next stage of expansion".