The Adani Group is preparing a major push in its aviation business with a plan to invest around 15 billion dollars to expand the total passenger capacity across its airports to 200 million a year over the next five years, according to people familiar with the discussions. This large expansion drive comes as the company gears up for the public listing of its airport division and aims to tap into the rapid growth of India’s air travel market.
The strategy includes new terminals, additional taxiways, and a fresh runway at the Navi Mumbai airport, which is scheduled to open on December 25, the people said, requesting anonymity because the plans are not yet public. The group will also move ahead with capacity upgrades at airports in Ahmedabad, Jaipur, Thiruvananthapuram, Lucknow, and Guwahati.
Roughly 70 percent of the required funding is expected to come through debt raised over the next five years, while the remaining portion will be backed by equity, they said.
This expansion aligns with forecasts suggesting India’s annual passenger traffic could more than double to 300 million by 2030. By lifting its capacity to nearly two-thirds of that figure, the Adani Group is positioning itself to play a central role in the country’s aviation surge, while also strengthening the argument for the upcoming IPO of its airports subsidiary.
The planned increase in capacity, which is expected to surpass 60 percent, does not include the 20 million passenger capacity at Navi Mumbai and the 11 million at Guwahati, both of which are set to begin operations this month, the people said.
A Bloomberg image circulated with the reports, while the company hasn’t officially responded to requests for comments.
The focus of the upgrades is on six airports the group took over during India’s second privatization round in 2020. These airports were previously run by the Airports Authority of India. India’s privatization journey began in 2006, when GMR Airports and GVK Power & Infrastructure acquired the New Delhi and Mumbai airports, respectively. Adani later purchased GVK’s stake.
The government is now preparing to privatize 11 more airports, pairing weaker assets with profitable ones. Adani Airport Holdings, the largest operator in terms of number of airports, along with GMR Airports, which leads in passenger traffic, are expected to be major contenders.
India is also building a second airport for Delhi to meet growing demand and is targeting a total of 400 airports nationwide by 2047, up from the current number of around 160.
