Govt. clears Rs. 2,149-cr investment in BIAL

The civil aviation ministry in a recent move has given security clearance to Watsa's proposed investment in the GVK-led Bangalore International Airport (BIAL), thereby, paving the way for the deal ―to be concluded shortly. India-born Watsa's, Toronto-based Fairfax Group had in March last year, announced its decision to buy 33% stake in BIAL from GVK Group for Rs. 2,149cr, valuing the eight year-old airport at about Rs. 6,500cr. The Bangalore airport is Fairfax Group's largest investment in the country since it opened an India-dedicated investment company in 2014 and is also the company’s biggest bet on India's infrastructure sector. After the deal, Fairfax will hold 38% stake in BIAL, followed by Siemens Project ventures with 26%, while the government of India and Karnataka state government will own 13% each and GVK will hold the remaining 10%, Managing Director, BIAL, Sanjay Reddy, said.