Hyderabad: Malaysia Airport Holdings Berhad (MAHB)'s stake sale agreement with GMR Group for selling its share in GMR Hyderabad International Airport Ltd (GHIAL) has been terminated.
GHIAL is a joint venture company promoted by the GMR Group in partnership with the Indian and Telangana governments and the MAHB.
The company was incorporated to design, finance, build, operate and maintain the Rajiv Gandhi International Airport at Shamshabad, Hyderabad.
According to the MAHB, the agreement for selling its 11 per cent stake in GHIAL to GMR Group has been terminated as the latter was unable to fulfil the obligations as per the share purchase agreement (SPA).
"The Board of Directors of MAHB wishes to announce that the SPA has been automatically terminated due to failure of the purchaser to complete their obligation in accordance with the terms of the SPA by December 31, 2018," the MAHB said in a regulatory filing on January 2.
"Therefore, MAHB and MAHB (Mauritius) Pvt Ltd shall remain as shareholders of GHIAL accordingly."
In February 2018, GMR Infrastructure said that its subsidiary company GMR Airports has entered into an agreement to acquire 4.15 crore shares of face value of Rs 10 each, representing 11 per cent equity stake in GHIAL collectively from MAHB and its subsidiary MAHB (Mauritius).(IANS)