Adani Ports, Adani Enterprises surge 5% as CCI approves Group's acquisition of Mumbai airport

Last month, Adani Enterprises announced that its subsidiary Adani Airport Holdings has entered into an agreement with GVK Airport to acquire a controlling stake in Mumbai airport.

Sep 25, 2020 10:09 IST India Infoline News Service

Adani Ports and Adani Enterprises recorded an upside of nearly 5% each on Friday after the Competition Commission (CCI) approved the duo's Adani Group's acquisition of controlling stake in Mumbai airport. Adani Ports was also the lead gainer on Nifty50 index.

CCI tweeted saying, "Commission received Green Channel combination pertaining to the acquisition of GVK Airport Developers Limited  by  Adani Airport Holdings Limited This is the 17th Green Channel filing."

At around 10.47 AM, Adani Ports trading at Rs326.15 per piece surging by 3.92% on Sensex. In early trade, the stock has gained by as much as 4.9% with an intraday high of Rs329.50 per piece.

Meantime, Adani Enterprises stock was performing at Rs280.15 per piece soaring by 3.57% on Sensex. The stock gained by 4.88% on Sensex with an intraday high of Rs283.50 per piece in early deals.

Investors continued to have a bullish tone on both the stocks.

Last month, Adani Enterprises announced that its subsidiary Adani Airport Holdings (AAHL) has entered into an agreement with GVK Airport Developers Limited (GVK ADL) to acquire a controlling stake in Mumbai airport.

AAHL is the flagship holding company of Adani Group for its airports business. While GVK ADL is the flagship company of GVK Group for its airports business.

Through GVK ADL, the GVK Group holds  50.50% equity stake in Mumbai International Airport Limited (MIAL), which in turns holds 74% equity stake in Navi Mumbai International Airport Limited (NMIAL).

In its regulatory filing in August, Adani Enterprises said that GVK Group and AAHL have agreed that AAHL will offer a stand-still to GVK, also, to release of the guarantee given by GVK Power and Infrastructure Limited with respect to the debt acquired by it.

Also, Adani Enterprises said, upon the acquisition of the debt of GVK ADL, Adani Group will take steps to obtain necessary customary and regulatory approvals, as may be required, to acquire a controlling interest in MIAL.

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