Navi Mumbai Airport project: GVK may hit air pocket on fundraising

The sagging financials of GVK Group are a concern, said the analysts

The Hyderabad-based GVK Group will not only face technical difficulties to set up the new airport in a swampland filled with crocodiles and snakes in Navi Mumbai, but the group faces a daunting task in raising funds for the Rs 16,000-crore project due to its weak financial metrics. 

The group’s listed holding company, GVK Power & Infrastructure (GVK Power), has been classified as a non-performing asset (NPA) by a few lenders, as it failed to repay loans as of December 2016. Its consolidated debt was a staggering Rs 26,636 crore as of March last year, according to its financial statements.