GMR Airports Infrastructure (GVIAL), through its step-down subsidiary, has raised Rs 3,125 crore from a consortium of five lenders, the company informed on Saturday.
GMR Visakhapatnam International Airport, the company that has the concession to build and operate the greenfield Bhogapuram International Airport, has executed the financing agreement led by India Infrastructure Finance Company
The phase I development of the Bhogapuram International Airport would cater to 6 million passengers annually. The debt will have a tenure of 18 years, comprising 3 years of construction phase, 1 year of stabilisation phase and 14 years of structured repayments.
With execution of these financing agreements, GVIAL has tied up the necessary debt to fund this project. The overall project cost would be Rs 4,727 crore.
As part of the concession provision, an amount of INR 134.55 crores, shall be reimbursed by the Andhra Pradesh Airports Development Corporation and the remaining amount shall be funded by way of equity/CCDs/sub debt.
The announcement comes a day after the US-based investment firm GQG Partners acquired 4.7% stake in GMR Airports for Rs 1,672 crore through open market transactions. A total of 19.2 lakh shares were picked up by Goldman Sachs GQG Partners International Opportunities Fund, and 9.26 lakh shares were bought by GQG Partners Emerging Markets Fund, as per the bulk deals data.