Fairfax India's Strategic Move: Expanding Stake in Bengaluru Airport

Fairfax India Holdings increases its stake in Bangalore International Airport Ltd (BIAL) to 74% by acquiring an additional 10% interest for $255 million from Siemens Projects Ventures. This transaction is set to conclude in Q1 2025, with payments in installments. BIAL operates Bengaluru's Kempegowda International Airport.

Fairfax India Holdings is set to enhance its influence in the aviation sector by acquiring an additional 10% stake in Bangalore International Airport Ltd (BIAL), elevating its total holding to 74%.

Currently, BIAL is a collaboration between Fairfax India, the Airports Authority of India, and the Karnataka State Industrial and Infrastructure Development Corporation, with the latter two each holding a 13% stake. The $255 million transaction is slated to conclude in Q1 2025, with the payment distributed across three installments, the first of which will occur upon finalization.

Fairfax India Founder Prem Watsa highlighted the ongoing growth potential within BIAL and praised the exceptional track record of the management team led by Hari Marar. The Kempegowda International Airport in Bengaluru, India's pioneering greenfield airport established via a public-private partnership, is central to BIAL's operations, which are secured by an exclusive concession agreement with the Indian government until 2068.

(With inputs from agencies.)