Banks

GMR bags Rs 1,330cr funding for Goa airport from Axis Bank

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The GMR Group has secured a funding worth Rs 1,330 crore from private lender Axis Bank for developing the Rs 3,000-crore new international airport in Goa.

The brand last year bagged the contract to build a greenfield airport at Mopa in North Goa

GMR Goa International Airport (GGIAL), a subsidiary of GMR Airports Ltd, successfully completed debt facility agreement with the bank for the development of the airport,” GMR Group said in an official communique.

“The company hopes to begin ground work at the site after the monsoons,” it said.

GGIAL won the contract to develop the greenfield airport at Mopa last year and a 40-year concession agreement was signed on November 8, 2016.

The agreement can be extended for another 20 years as per the requirements. The foundation stone for the project was laid by Prime Minister Narendra Modi on November 13, 2016.

 “The entire debt of Rs 1,330 crore has been underwritten by Axis Bank for an 18-year tenor on competitive terms,” said Sidharath Kapur, President at GMR Airports, which also operates the Delhi and Hyderabad international airports.

“The confidence of the banks on the project reflects the intrinsic strength of the plan and also the operational and delivery capability of GMR Airports,” he added.

“The group is delighted to be partnering with Goa for building a new airport, which will become the gateway to the coastal state,” said Srinivas Bommidala, Chairman (Airports) at GMR Group.

 “Having tied up funding for the project, we are working towards starting ground construction activity after the monsoons. We are confident that the new airport will significantly boost tourism in the state and also lead to jobs creation for the Goans,” he said.

 

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