 "DIAL plans raising Rs 3,000 crore; mulls masala bonds issue")
DIAL, which is majority-owned by diversified GMR Group, has debt of around Rs 3,000 crore.
GMR Airports President (Finance and Business Development) Sidharath Kapur said it is looking to refinance the debt of DIAL at lower cost.
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"We would refinance up to Rs 3,000 crore through Masala bonds or dollar denominated bonds," he said here.
According to him, these bonds could be issued in the next 2-3 months, adding, "it will also depend on the market conditions".
"Options will depend on the lower finance cost," he said.
Masala bonds are rupee-denominated bonds which help in raising funds from overseas markets at lower rates and many entities have been taking this route for raising funds.
Passenger traffic at the Delhi airport grew 18.1 per cent last financial year to 48.42 million as compared to 40.98 million passengers who arrived and departed in 2014-15.
Kapur was talking to reporters after announcing the schedule of the Global Airport Development (GAD) Conference that commences here from Wednesday.
The three-day event, happening for the first time in India, offers a platform to 200 influential players including airport operators, airlines, policy makers, regulators and potential investors from across the region.
"We are happy to partner with GAD, which creates a platform for Asian thought leaders on airport strategy, economics and revenue streams. It brings the largest pool of investors, policy makers and decision influencers from airport sector for first time in India," Kapur said.
Such a large gathering of investors showcases the potential of India civil aviation sector and interest of global aviation community in India, he added.
"We hope this platform will create a new vista of opportunities for development of Asian aviation sector," he said.
GAD Asia is a key event for the global airport investment community that focuses on meeting the capacity needs of a high growth region.
India is the fastest growing aviation market in the world, having seen over 20 per cent growth in domestic traffic for almost two years now, with opportunities for strategic and financial players to invest in airport assets.