Prem Watsa-led Fairfax India Holdings Corporation is acquiring an additional 10 per cent equity interest in Bangalore International Airport Ltd (BIAL) from Siemens Project Ventures GmbH, part of Siemens Financial Services.
The transaction which comes at a value of $255 million will result in Fairfax India’s equity interest rising to 74 per cent from 64 per cent in BIAL.
Of this, 30.4 per cent will be held by its wholly-owned subsidiary and 43.6 per cent will continue to be with its arm Anchorage Infrastructure Investments Holdings Ltd.
A press statement from Fairfax India said the equity interest in BIAL owned by the Indian state promoters, Airports Authority of India (AAI) and Karnataka State Industrial and Infrastructure Development Corporation, Ltd will remain unchanged at 13 per cent each.
The transaction is expected to close in the first quarter of 2025, upon which the additional 10 per cent equity interest in BIAL will be acquired by Fairfax India.
Fairfax India added that the purchase price will be payable in three instalments, with the initial instalment to be paid on the closing date in the first quarter of the next calendar year. The second and third instalments are to be paid on or around August 31, 2025 and July 31, 2026, respectively.
The transaction is subject to approval by Fairfax India’s shareholders in accordance with the terms of the company’s by-laws, third party consents and other customary closing conditions.