GVK Power completes term sheet with strategic investor for its airport arm

GVK Power & Infrastructure Ltd has signed a term sheet with a strategic investor for GVK Airport Holdings Ltd, its subsidiary, but is awaiting various mandatory clearances and lenders’ approvals to conclude the deal.

The diversified infrastructure company is in discussions has not yet reached a definitive stage about the terms and conditions that would entail the firm purchase contract.

The step-down airport subsidiary and holding company of Mumbai International Airport Ltd holds 50.5 per cent equity and the management has been looking for divestment options in the vertical.

Before the conclusion of this deal, GVK may further hike its stake in the SPV, buying out the interest of other partners.