Divestment of 12% stake in Bangalore International Airport Ltd completed
29-Dec-2009 As announced with news flashes on November 5 and October 5, Zurich Airport planned for a 12% divestment of its 17% shareholding in Bangalore International Airport Ltd. With the final settlement, the transaction has now been completed.
The cash in proceeds of this transaction (post Indian tax) amount to 87 million Swiss Francs, having a positive impact of approximately 75 million Swiss Francs on the company's net profit.
Zurich Airport will remain the operator of Bengaluru International Airport and will also retain 5% of the share capital of BIAL, including its board representation. Together with the new entered strategic alliance with GVK Power & Infrastructure Ltd. (GVKPIL), Zurich Airport affirms its commitment to the Indian aviation market and intends, together with its new partner GVKPIL, to expand its airport activities in South Asia and its presence in India. This commitment is based on the strategy of growing internationally in terms of operational management contracts, in combination with minority equity stakes if deemed meaningful.