GMR to Focus on Large Airport Constructions

8 June 2009 (Last Updated June 8th, 2009 18:30)

In an effort to enhance focus on constructing and operating large airports, GMR Infrastructure will raise Rs50bn ($1.05bn) by selling 11% of shares in the company to institutional investors. Announcing the proposed sale, GMR chairman GM Rao said that the company will focus only on large

In an effort to enhance focus on constructing and operating large airports, GMR Infrastructure will raise Rs50bn ($1.05bn) by selling 11% of shares in the company to institutional investors.

Announcing the proposed sale, GMR chairman GM Rao said that the company will focus only on large airports that have a capacity to handle more than five million passengers annually.

Since the Indian Government is more centred on the infrastructure sector, GMR would like to be ready for the major infrastructure projects that may come to them, the Wall Street Journal reports.

The parent company of GMR Infrastructure, GMR group is a leading member in the consortia that developed and operated the international airports in Delhi and in the southern city of Hyderabad.

Delhi Airport saw a drop of 5% during the March quarter, while Hyderabad Airport observed 11% drop in March 2009 compared to the previous year, according to GMR.