Istanbul Sabiha Gokcen International Airport. Credit: © Malaysia Airports Holdings Berhad.

Malaysia Airports Holdings is reportedly considering the acquisition of a minority stake in India-based airport operator GVK Airports.

The company is working with an international consulting and advisory firm to explore a stake acquisition in GVK, which runs the existing Mumbai International Airport, as reported by timesofindia.indiatimes.com.

Malaysia Airports expressed its interest after the revelation that sovereign wealth fund Qatar Investment Authority and Canadian Pension Plan have also shown interest to acquire a stake in the airport operator.

The publication reported that GVK, which has selected Citigroup for a stake sale, earlier had indecisive discussions with numerous investors including Germany-based airport operator AviAlliance.

“It is not the first time that Malaysia Airports is planning investment in India. Previously, the airport operator owned a minority stake in Delhi and Hyderabad airports.”

Similar to its peer GMR, Hyderabad-based GVK has considered both private placements of shares and an initial public offer (IPO) for the airports holding company in recent years.

GVK is looking for capital to develop the INR160bn ($2.33bn) second Navi Mumbai International Airport.

During the fiscal year 2018, GVK’s airports vertical posted a revenue of about INR34bn ($495.4m) and an operating profit of around INR5.9bn ($89.96m).

It is not the first time that Malaysia Airports is planning investment in India. Previously, the airport operator owned a minority stake in GMR-operated Delhi and Hyderabad airports.

Malaysia Airports was incorporated in 1991. The company manages most of the airports in Malaysia and has been expanding overseas in Sabiha Gocken International Airport in Turkey.

The company expands its expertise in airport management and investment to other airports overseas, further diversifying its airport portfolio.