Airports Authority of India (AAI) estimates its valuation at Rs 80,000 crore

Hyderabad: Airports Authority of India (AAI), which is planning to become a corporate, estimates its valuation to be nearly Rs 80,000 crore with strong business plans in the pipeline, its Chairman V P Agrawal said today.
AAI, the largest airport developer of the country, however, was valued at only Rs 20,000 crore by auditing and consulting firm KPMG which was appointed to study its corporatisation plans in 2009.
"KPMG did the valuation (without factoring a strong business plan). It did the valuation to the tune of Rs 20,000 crore that time. I think our valuation should be close to 80,000 crore with a business plan. Without strong business plan, valuation will not be high," Agrawal told reporters on the sidelines of GMR Aviation Security Summit , a two-day conference which began here today.
He said the AAI is seeking the government approval for corporatisation and it may take a year before it came up with an IPO .
"Corporatisation of AAI is a good idea. We did our internal evaluation. And you know AAI is an authority. We have to go to the government again. Seek necessary permission for corporatisation. Seek business plans. Once the Government gives those clearances, then we will go for it. We are in the process. It may take one more year," the AAI chief said.
Former Minister for Civil Aviation Praful Patel , in 2009, had said that plans for corporatisation of AAI were on the cards and the move would help the Authority raise funds for developing various airports in the country.
25/03/11 PTI/Economic Times

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Categories: Airports Mar 2011