Tatas in race for Chennai, Kolkata airport projects
Tata Sons is set to make another big splash in aviation after its recent foray with Singapore Airlines and Air Asia.
Tata Sons is set to make another big splash in aviation after its recent foray with Singapore Airlines and Air Asia. CNBC TV 18 learns that Tata Group is likely to bid for 100% stake in two airport projects, i.e they are planning to bid for the governments stake in the Chennai and Kolkata airports.
The government had allowed privatisation of six airports in August this year. Tata groups interest in this clearly comes at an appropriate time, considering that the Tatas have announced their two airline joint ventures (JVs), one with Air Asia and one with Singapore Airlines recently.
Experts say that this airport foray will not only help them expand their base further but help them gain market share in the aviation space too. We further understand that Tata group may look at investing around Rs 2800 crore on brownfield expansion for these two projects, which include investments for their metro connectivity, and addition of new terminals too.
However, its not only the Tata group which is eyeing these six airports. Along with Tatas, some already existing players, like Sahara and GVK are also planning to place their bids. They are all still seeking clarity on some issues the exact share of revenues that they have to pay to the government is one of them.
The Tatas are also bidding for three greenfield projects namely, Goa, Jamshedpur and the Navi Mumbai airports. They have expressed interest for Goa and Jamshedpur, while the government is yet to invite bids for the Navi Mumbai airport.
So, clearly aviation seems to be the new focus for this group at this point of time.