Adani Enterprises hits 52-week high as arm acquires 23.5% stake in MIAL

In August 2020, Adani Group had signed an agreement with GVK Group to acquire its 50.5 per cent stake in Mumbai airport
Shares of Adani Enterprises hit a fresh 52-week high of Rs 683, up 7 per cent on the BSE, in the intra-day trade on Monday after Adani Airports completed acquisition of 23.5 per cent stake in Mumbai Airport.

"Adani Airport Holdings (AAHL), the flagship holding company of Adani Group for its airports business and a wholly owned subsidiary of Adani Enterprises, has acquired 23.5 per cent equity stake, i.e. 282 million equity shares of Rs 10 of Mumbai International Airport, from ACSA Global and Bid Services Division (Mauritius) for Rs 1,685.25 crore," Adani Enterprises said in a regulatory filing. READ FILING HERE

MIAL is engaged in the business of development, construction and operation of Chhatrapati Shivaji Maharaj International Airport. This acquisition forms part of the transaction pursuant to which AAHL proposes to acquire controlling interest in MIAL, it added.

In August 2020, Adani Group had signed an agreement with GVK Group to acquire its 50.5 per cent stake in Mumbai airport. The deal also included acquisition of 23.5 per cent stake held by the two South African companies.

Earlier on January 19, 2021, Adani Enterprises announced that Adani Jaipur International Airport, Adani Guwahati International Airport and Adani Thiruvananthapuram International Airport, wholly-owned subsidiaries of the company, have signed the concession agreement with Airports Authority of India for the operations, management and development of Jaipur, Guwahati and Thiruvananthapuram Airports respectively. The concession period is 50 years from the commercial operation date, it said.

Adani Enterprises, which is engaged in mining services, solar manufacturing, agro, roads and airport services business, reported a profit after tax attributable to owners at Rs 297 crore for October-December quarter (Q3FY21), as against Rs 426 crore in the previous year, quarter owing to exceptional write off of exploration block on termination by the Ministry of Petroleum and Natural Gas. The consolidated total income for the quarter increased by 6 per cent year on year at Rs 11,788 crore owing to increased sales in solar manufacturing business, the company said.

At 10:47 am, Adani Enterprises was trading 5 per cent higher at Rs 627 on the BSE, as compared to a 1.4 per cent rise in the S&P BSE Sensex. A combined 5 million equity shares changed hands on the counter on the NSE and BSE till the time of writing of this report.



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