Abu Dhabi Investment Authority, Canada's PSP write to govt on Mumbai airport takeover: Report

MIAL (Representative Image)

Global investors Abu Dhabi Investment Authority (ADIA) and Canada's Public Sector Pension (PSP) Investments have written to the government seeking a fair resolution to the takeover of Mumbai International Airport (MIAL).

The letter, addressed to the Ministry of Finance the Prime Minister’s Office (PMO), was sent last week, said a report by The Economic Times.

Moneycontrol could not independently verify the story.

The letter was sent after the investor consortium of state-owned National Investment and Infrastructure Fund (NIIF), ADIA, and PSP Investments gave a "carve-out" to GVK Group's promoters, permitting them to sell their stake, the report said.

Media reports suggest that Adani Group is keen on acquiring a controlling stake in MIAL.

GVK Group's MIAL operates the Mumbai airport, which is India's second-busiest airport, and will manage the upcoming Navi Mumbai airport as well.

GVK Airport Holdings has a 50.5 percent stake in MIAL, Airports Authority of India (AAI) has 26 percent holding.

Bidvest and Airports Company of South Africa (ACSA) own 13.5 percent and 10 percent of MIAL respectively.

In October 2019, GVK agreed to sell its 79 percent holding in GVK Airport Holdings to the investment consortium for Rs 7,614 crore.

ADIA and PSP have not responded to queries as per the report.

"In the instant case referred to, the said investors have brought to our notice uncertainty caused by protracted litigation between private investors. Government has no role in such litigation of a private nature," the finance ministry  said as per the report.