Bengaluru Airport
Credit: DH File Photo
Bengaluru: The Bangalore International Airport Limited (BIAL), operator of the Kempegowda International Airport, has raised Rs 9,000 crore through the largest unlisted private placement of Non-Convertible Debentures (NCDs) in India’s airport sector.
The funds will be used to refinance existing debt and support future infrastructure expansion, BIAL said in a press note.
The fundraising is split into two tranches: Rs 4,362 crore completed on July 25 and Rs 4,638 crore scheduled for early October.
SBI Capital Markets (SBICAPs) acted as the sole arranger.
With a 15-year tenure, the refinancing structure enables BIAL to optimise its capital structure, shift to fixed interest rates, and lower borrowing costs.
“This landmark issuance is a significant milestone for BIAL as it not only reflects strong investor confidence in our long-term vision, but also strategically strengthens our financial position ahead of the next phase of expansion,” said Bhaskar Rao, Chief Financial Officer, BIAL.
The deal attracted a broad mix of investors, including banks, insurance firms, Infrastructure Debt Funds (IDFs), and Public Financial Institutions (PFIs).
The Kempegowda International Airport (KIA), South India’s busiest, handled over 41.88 million passengers and 5,02,480 metric tonnes of cargo in the last financial year, the press note said.