GMR wins bid for development and operations of Indonesia’s Kualanamu International Airport

By: |
November 18, 2021 5:35 PM

GMR Infrastructure Limited will enter into a 49:51 partnership with AP2 for this project.

GAL is said to transform the airport into the Western International hub of Indonesia.

On Thursday, GMR Airports Limited (GAL), a subsidiary of GMR Infrastructure announced that it has won a bid for the development as well as operation of Kualanamu International Airport in Medan, Indonesia. The state-owned enterprise and the bidding authority for the Medan International Airport- Angkasa Pura 2 (AP2), has informed that they have completed the best and final process of evaluation for selection of strategic partnership for the aerodrome and have declared GAL as the Winning Bidder. According to a PTI report, Medan is Indonesia’s fourth-largest urban area and is the capital of North Sumatra province. GMR Infrastructure Limited will enter into a 49:51 partnership with AP2 for this project. GAL is said to transform the airport into the Western International hub of Indonesia.

In 2018, the airport handled over 10 million passengers. The airport project scope includes development, operation, as well as expansion of the international airport 25 years’ period. Kualanamu Airport of Indonesia is an operating Airport with healthy cash flows. The bid for this high growth potential brownfield airport was won by GMR Airports Limited, through a closely contested international competitive bid process and the company is said to partner with AP2. In the next few days, the letter of award is likely to be issued, post-bid formalities, while project agreements’ signing before year-end.

According to Srinivas Bommidala, Chairman Energy and International Airports, GMR Group, GAL is delighted to have been announced the winning bidder for Kualanamu International Airport’s development and operation. He further said the project marks the entry of GMR Airports in Indonesia’s fast-growing aviation sector- the largest in ASEAN and a high potential market. The group would like to take the opportunity to reiterate its commitment to transform Medan International Airport into a Western International hub of the Southeast Asian nation as well as contribute to the overall infrastructure development of the country, he added.

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