AAI may raise Rs 500 cr via bonds to fund expansion: Media Report

AAI may raise Rs 500 cr via bonds to fund expansion
State-owned, Airports Authority of India (AAI) is likely to issue Rs 500 cr bonds next year to fund its ongoing projects, if Air India fails to pay Rs 1,400 crore of dues to AAI, said the media report.

AAI is upgrading and modernising 35 non metro airports at an investment of Rs 4,565 crore. While most of them have been completed, work on the rest is underway, said the media report.

"We still have around Rs 800 crore parked with us to fund the various ongoing projects. We are awaiting Air India to clear our dues, and if that does not happen, then we will launch an infra bond issue worth Rs 500 crore," an AAI official told media.

Stating that Air India owes around Rs 1,400 crore to the AAI on account of landing and parking charges at different airports, the official said "We expect them to clear the dues by this year."

Dion Global Solutions Ltd.

Read more about: aai, bonds, air india, debt
Story first published: Monday, September 16, 2013, 10:20 [IST]
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