At a time when corporates throughout the board are reducing down on their capital expenditure plans amid the slowdown, Adani Enterprises Restricted (AEL), the flagship firm of the Ahmedabad-based $13 billion Adani Group, has lined up a capital expenditure of ₹26,000 crore throughout its companies within the subsequent 5 years.
Jugeshinder Singh, Group CFO, Adani Group, advised The Hindu, “We have a capex of ₹26,000 crore for the next five years and most of it will be towards airport development.”
“We are not cutting down on any capex plans. In fact, most of the capex for this fiscal has been exhausted and the remaining small capex of ₹1,800 crore will be done ahead of the end of this fiscal.”
The corporate entered the airport sector in February this yr by profitable bids to function six airports — incuding in Ahmedabad, Lucknow, Jaipur, Thiruvananthapuram and Mangaluru — for the subsequent 50 years.
The corporate intends to take a position greater than ₹7,000 crore in growing these 5 airports along with making upfront fee to the Airport Authority of India (AAI).
When requested about aggressive bidding, Mr. Singh stated: “You may say the bidding is aggressive when you consider that we have bid for 11 million passengers in Ahmedabad. But Ahmedabad attracts 13 million non-passengers and we will build our business model to get some benefit from non-passengers. We have bid as per our business case.”
Eyeing stake in MIAL
The corporate can be eyeing vital stake in Mumbai Worldwide Airport (MIAL) for ₹10,000 crore and has bid for the ₹29,500-crore greenfield Jewar Airport in Noida.
Adani Group is claimed to be the highest contender for the worldwide tender floated to rent a developer for the proposed airport by the Noida Worldwide Airport Ltd.