MAHB divests stake in Hyderabad International Airport for US$100 mil

Move part of efforts to streamline overseas investment portfolio, unlock value from non-core assets, it says

8:26 PM MYT

 

KUALA LUMPUR – Malaysia Airports Holdings Bhd (MAHB) and its wholly-owned subsidiary, MAHB (Mauritius) Private Limited, are divesting their entire 11% stake in GMR Hyderabad International Airport Limited, the holding company that manages Hyderabad International Airport in India, to the GMR Group for US$100 million (RM478 million). 

The airport operator group acquired the stake in 2009 for US$10 million from GMR Group.

“Since the acquisition, MAHB Group has maintained a passive minority interest in the venture. 

“This divestment is part of MAHB’s efforts to streamline its overseas investment portfolio and unlock value from its non-core assets, in line with the group’s international business growth strategy,” it said in a statement today.

The proceeds from the disposal will be redirected towards general corporate purposes and capital expenditures in assets where the MAHB Group holds a more direct and controlling stake. The proceeds are expected to be fully utilised within the next 12 months.

It said this strategic reinvestment approach is a key element of the group’s growth strategy, allowing it to optimise its investment portfolio and strengthen its control over core assets, ultimately leading to greater long-term value for stakeholders. – October 25, 2023

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