Adani Group to integrate smaller airports with Mumbai
Plans hub and spoke model
The Adani Group is planning to have an integration of hub-and-spoke model with its portfolio of Mumbai and six other smaller airports.
The company recently signed a deal with the GVK Group to acquire 75 percent stake in Mumbai International Airport. With this, it now also owns the upcoming second airport in Navi Mumbai.
The company is looking to converge Tier-1 cities with Tier-2 and Tier-3 cities in a hub-and-spoke model.
The company has won the development and operation rights over a 50 year lease for Ahmedabad, Lucknow, Mangaluru, Jaipur, Thiruvananthapuram and Guwahati airports.
At Rs 115 per passenger for Mangaluru and Rs 171 for Lucknow, Adani Group’s bids were over 500 percent more than the bids received from the GMR Group and PNC Infratech. Similarly, it placed a bid of Rs 177 for Ahmedabad airport, nearly 200 per cent more than the bid of Rs 60 of Autostrade Indian Infrastructure Development.
The company will also bid for second airports that will be required in metro cities.