During Tuesday’s trading session, the shares of one of the leading global airport platform companies surged 2.7 percent to Rs. 93.31 on BSE, after the company announced its plan to acquire a 10 percent stake in Delhi International Airport Limited for $126 million.
With a market capitalisation of Rs. 97,374.8 crores, at 11:14 a.m., the shares of GMR Airports Infrastructure Limited were trading in the green at Rs. 92.35, up by 1.6 percent, as against its previous closing price of Rs. 90.9.
Is GMR Airports a buy or sell? What is its Fair Value? What are the company's health parameters? What are the positive and negative factors driving the company -- ProTips? Know all the answers on the company's overview page here.
What’s the News:
According to the latest regulatory filings with the stock exchanges, GMR Airports Infrastructure entered into a Share Purchase Agreement (SPA) with Fraport AG Frankfurt Airport Services Worldwide.
This agreement outlines GMR Airports’ plan to acquire Fraport’s current 10 percent minority stake in Delhi International Airport Limited (DIAL), a subsidiary of the company.
The said acquisition will be made for a negotiated aggregate consideration of $126 million.
Presently, GMR Airports holds 64 percent of DIAL’s paid-up capital. Once this acquisition is completed, GMR Airports’ stake will increase to 74 percent, while the Airports Authority of India (AAI) will continue to hold a 26 percent equity stake in DIAL.
Following the transaction, Fraport will continue to serve as the Airport Operator for DIAL under the terms of the existing Airport Operator Agreement and any other related agreements.
The deal is expected to be finalised within 180 days from the date of execution of the said SPA, subject to approval from the AAI, GIL shareholders, and other standard closing conditions.
Financials:
The company experienced significant growth in its revenue from operations, showing a year-on-year rise of around 1.5 percent from Rs. 2,018 crores in Q1 FY24 to Rs. 2,402 crores in Q1 FY25.
However, its net profit decreased during the same period from a profit of Rs. 17 crores to a loss of Rs. 338 crores.
Stock Performance
Shares of GMR Airports Infrastructure have delivered positive returns of nearly 43.4 percent in one year and around 11.6 percent in the last six months. So far in 2024, the stock has given about 15 percent of positive returns.
About the Company:
GMR Airports Infrastructure Limited, formerly known as GMR Infrastructure Limited (NS:GMRI), is engaged in the business of development, maintenance and operation of airports, construction business including Engineering, Procurement and Construction (EPC) contracting activities and providing security services.
Written by Shivani Singh
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