Full-body security scans, self-baggage drops... Will Mumbai airport get a major upgrade soon?

Adani Airports Holdings, which is the country’s largest airports operator, has secured $1 billion in financing, in what is said to be India’s first investment-grade rated private bond issuance in the airport infrastructure sector.

 

The funding will be for Adani’s Mumbai International Airport Ltd and will involve the issuance of $750 million notes maturing in July 2029, and there is a provision to raise an additional $250 million. MIAL is the holding company for the management, operation and development of Mumbai’s existing Chhatrapati Shivaji Maharaj International Airport (CSMIA). The transaction was led by Apollo-managed funds, with participation from a syndicate of institutional investors and insurance companies, which included BlackRock-managed funds and Standard Chartered, among others.

 

This fund issuance follows Adani Airport’s $750 million financing from a consortium of global banks.

 

“This successful issuance validates the strength of the Adani Airports’ operating platform, the robust fundamentals of Mumbai International Airport, and our commitment to sustainable infrastructure development. Our ability to secure one of the largest private investment-grade project finance issuances demonstrates our commitment to financial discipline, capital efficiency and long-term value creation,” said Arun Bansal, the CEO of Adani Airports Holdings.

 

CSMIA currently has a capacity of 55 million passengers per year. MIAL has announced plans earlier to invest ₹10,000 crore in the next five years in airport infrastructure development. This will include a complete redevelopment of the airport’s terminal 1, which is more than 30 years old, to expand capacity and enhance passenger facilities. Likely to be completed in 2028-29, the capacity at terminal 1 will go up 42 per cent to 20 million passengers per year.

 

It has also planned infrastructure and tech upgrades at terminal 2, which will include self-baggage drop systems and full body scanners to streamline security. MIAL has also planned upgrades to airside infrastructure, such as runway maintenance and improvements on the taxiway to improve flight operations. It also has plans to achieve net zero emissions by 2029.

 

Adani Airports is also developing the upcoming Navi Mumbai International Airport (NMIA). The airport, which was earlier expected to start operations in April, is now expected to open in August. Located in the Raigad district, around 35 km from CSMIA, there will be one operational terminal and runway at NMIA in the initial phase, with a capacity to handle 0.30 million tonne cargo and 20 million passengers per year.

 

Once fully complete in 2040, there will be four passenger terminals and two operational runways, along with a dedicated general aviation terminal and air cargo terminal, with a cumulative capacity to handle 90 million passengers and 2.60 million tonnes of cargo annually.

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