Zürich Airport completes sale of remaining stake in Bangalore Airport

INDIA. Zürich Airport has completed the sale of its remaining 5% stake in Bangalore International Airport Limited (BIAL) to a subsidiary of Fairfax India Holdings Corporation for US$48.9 million. The planned sale was first announced in April 2016.

The disposal of BIAL will result in a capital gain of CHF30-35 million for the Swiss airport company.

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Zürich Airport says that it remains committed to the Indian aviation market and will examine new opportunities; pictured is the Dufry/Nuance duty free store at Bengaluru International

BIAL owns and operates Kempegowda International Airport Bengaluru under a 30-year concession agreement (with a further 30-year extension option) from the Government of India. It was the first greenfield airport in India built by the private sector under a public-private partnership.

Zürich Airport helped to pioneer the airport privatisation process in India after it was selected in 2001 as the operator and shareholder for the airport. Its Operations, Management & Services Agreement at the location ended in 2015, and the company gradually reduced its status to minority shareholder over time. In 2009, Zürich Airport sold 12% of its shareholding in BIAL to GVK Power & Infrastructure Ltd.

Zürich Airport said it “remains committed to the Indian aviation market and will actively consider new investment opportunities where our local experience and recognised international airport operator expertise can generate a significant impact. India remains one of Zürich Airport’s selected strategic investment markets.”

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