Adani Enterprises will invest ₹1.75 lakh crore in airport business, made this plan
Adani Group company Adani Enterprises plans to invest Rs 1.75 lakh crore ($21 billion) in its airport business over the next 10 years. Company’s Chief Financial Officer Jugeshinder Singh has given this information. He informed that city-side development will be done at all the airports managed by Adani Airport. The company aims to increase revenue from non-aero segment. It aims to contribute 75% to total revenue and operating profit. However, no deadline has been given to achieve this goal. At present, the air to non-air revenue ratio at the six airports is 75:25, while at Mumbai airport the ratio is 50:50.
Operation of seven airports
The airports business, managed by wholly owned subsidiary Adani Airport Holdings, currently operates seven airports across India, including Mumbai, Lucknow, Ahmedabad, Jaipur, Guwahati, Thiruvananthapuram and Mangalore. The company has launched the first phase of development on the fringes of the city in an area of 98 acres across five airports including Mumbai, Ahmedabad, Jaipur, Lucknow and Guwahati.
Adani Enterprises’ 2023-24 annual report said, “The company intends to transform India’s airport infrastructure through gateway development, regional presence growth, focus on consumers and non-travellers, and deep investment in digital technology interventions.” The field has to be redefined.”
Expected to boost development
Diversification of revenue sources as well as government support for public-private partnership models and India’s projected growth as the world’s third largest aviation market are expected to boost growth at Adani Airport. The concept of a smart city similar to GMR Aerocity in New Delhi, which offers food joints, retail brands, hotels and premium office space near the airport terminals, is being adopted by Adani Airport. The company is building the Navi Mumbai International Airport, which is expected to be completed by the end of this year or early next year.
