Adani Group plans $15 billion expansion at its airports in five years: Report

The Adani Group reportedly plans to invest $15 billion to increase the annual passenger capacity at its airports to 200 million over the next five years. The move is also aimed at supporting the growing demand for air travel in India at a time when the country is gearing up to list its airport unit.

According to a report in Bloomberg, the investment will help the group handle about two-thirds of the expected growth in passenger numbers, which is expected to double to 300 million by 2030. The expansion includes upgrades at several airports, such as the addition of terminals, taxiways and a new runway at Navi Mumbai airport, scheduled to open on December 25, the report added.

Capacity improvements will also be made at Ahmedabad, Jaipur, Thiruvananthapuram, Lucknow and Guwahati airports. About 70 percent of the financing for this expansion is expected to come from debt raised over five years, with the remaining amount from equity.

The planned upgrades will increase total passenger capacity by more than 60%, excluding additional capacity from new developments at Navi Mumbai and Guwahati airports. These six airports were leased during the privatization phase in 2020 and were previously managed by the Airports Authority of India.

This expansion is also consistent with the Indian government’s broader strategy to privatize airport operations and modernize infrastructure. The privatization agenda now includes 11 additional airports, combining loss-making and profitable airports. Adani Airport Holdings and GMR Airports are expected to be the lead bidders in the process.

India is also developing a second airport in Delhi to meet growing demand and aims to increase the total number of airports to 400 by 2047, up from the current 160, reflecting significant growth in the aviation sector.