Adani Airports to raise $1 billion for 5.54% stake sale, shares jump 5%

New Delhi (TIP): Adani Airport Holdings Ltd (AAHL), the airports arm of Adani Enterprises, will raise Rs 9,825 crore (around $1 billion) from a consortium of global and domestic investors, who will collectively hold about 5.54% in the company after the completion of the transaction.
The investor consortium comprises Alpha Wave Global, Premji Invest, Temasek and funds managed by BlackRock. The investment values AAHL at a pre-money equity valuation of around $18 billion, according to an exchange filing by Adani Enterprises.
Adani Enterprises shares rose 5% after the company announced the $1 billion fundraise by its airport subsidiary. The stock was trading at Rs 3,094.80, up Rs 135 or 4.56%, as of 11:43 am, compared with the previous close of Rs 2,959.80. The stock opened at Rs 2,963.35 and touched an intraday high of Rs 3,141.40. The investors will subscribe to fresh equity shares of AAHL in three tranches under a Share Subscription Agreement and Shareholders’ Agreement. The final tranche is expected to be completed by July 2027, subject to customary conditions and applicable approvals.
An expansion spree in recent years has turned AAHL into India’s largest airport operator by the number of airports it manages.
The company operates eight airports, including Mumbai International Airport, and accounts for about 25% of India’s passenger traffic and 33% of its air cargo volumes. The GMR Group, another major player in India’s aviation sector, remains the largest operator by the number of passengers handled.
The expansion has given Adani Airports a sizeable presence across India’s aviation infrastructure, as passenger traffic and air connectivity continue to grow.
The fresh capital will be used to modernise and expand airport infrastructure, develop Adani Airport City projects and scale up ground handling and other non-aeronautical businesses. AAHL plans around 22 million sq ft of mixed-use development in the first phase of its Airport City projects. The company aims to scale its airport capacity to around 200 million passengers annually.
Jeet Adani, Non-Executive Director of Adani Airport Holdings, said the investment marked an important milestone for the airports platform and that the company would continue to invest ahead of growth. “India’s aviation sector is one of the most powerful multipliers of the country’s GDP growth,” he said, adding that air connectivity catalyses trade, tourism, employment and regional development.