Adani now controls the Mumbai Airport. They have brought majority stakes in Mumbai International Airport. Adani Enterprises mention that it is a great place to build the infrastructure. This infrastructure is going to support the country’s aviation growth. Besides, due to the global coronavirus pandemic, the aviation department faces a lot of problems. The Chairman Gautam Adani mentions that the acquisition of Mumbai Airport will be a “transformational platform”. They also acquire six other groups and say that these are going to open up business opportunities for India. The enterprise buys the stakes of Mumbai airport days after it bought the majority of the stakes of GVK Power and Infrastructure. They are trying to make it one of the busiest and biggest transport gateways of India.
Adani Did Not Mention About COVID-19
Due to the coronavirus situation air travel slumps globally ever since March. However, Gautam Adani did not mention anything about its impact. He did not mention anything about the rising concern in any of his growth plans. Ever since March government imposes restrictions on air travel for public safety and awareness. Mr. Adani in a statement also mentions that India is planning to build 200 new airports. This will handle more than a billion of international and domestic passengers. At this point in time, the top 30 cities of India require at least 2 airports.
Mr. Adani says, “Adani airports see itself to be well-positioned. This will help in building the required infrastructure platform”. Adani Airports is a group of Adani Enterprises. It won a mandate last year to operate and modernize six airports. These will be in the big cities of India including Gujrat, Ahmedabad, and Jaipur. These are practically the tourism or business hubs of the country. The massive industrial conglomerate bags a revenue of $15 billion. The enterprise has businesses in gas distribution, power, logistics, renewable energy, roads, rail, and ports.
Fitch, a credit rating agency forecast consolidation last month. In its note about the Indian Aviation sector, it warns of a slow rebound in demand. It says the volume growth of domestic passengers is in single digits over the past few months. It also says that most Indian airlines report a passenger load of 50-60%. This is the data of July and it drastically contrasts to the 80-90% last year.