During this COVID-19 Pandemic the Government has been executing multiple measures. One of these precise economic measures is to privatize those companies that are recurring losses continuously. MNC’s and corporate companies having wealthy funds shall be doing these . Gautam Adani founded in 1988 Adani Group which is an Indian multinational conglomerate. As a commodity trading business, with the flagship company Adani Enterprises Limited. Gautam Adani is the chairman.
The Adani Group has expressed its incapability to control the three airports. It had won these after aggressive bidding last year, dealing a blow to the government’s privatization plan. They stated uncertainty in the aviation industry due to the pandemic. Hence, it is seeking at least six months to take over Lucknow, Mangalore and Ahmedabad airports, sources stated. It has written to the Airport Authority of India (AAI) to invoke the force majeure clause to postpone the takeover and it has appointed consultants to re-evaluate the viability of the business.
Adani signed a binding concession agreement for the three airports on February 15, after winning six in February 2019. According to the agreement, the group had to formally take over the assets within 180 days by paying around Rs1,500 crore upfront to AAI.
Adani has the right to operate the airports for 50 years, but those at Jaipur, Trivandrum and Mangalore are already stuck in litigation and the group hasn’t signed any binding agreement with AAI.
