- Adani Enterprises expands into Africa with a new subsidiary AIP in Kenya to manage and modernize airport infrastructure.
- AIP, fully owned by Adanis Global Airports Operator, has an initial share capital of $5.2 million and no regulatory issues.
- Adani Group's broader strategy includes a 30-year port concession in Tanzania and a $1.22-billion investment in Kenyas power sector.
Adani Enterprises, a key player in the Adani Group conglomerate led by India's second-richest man Gautam Adani, has launched Airports Infrastructure PLC (AIP), a new subsidiary focused on airport development in Kenya.
The Kenya entry, through the subsidiary Global Airports Operator LLC (GAO), supports Gautam Adani's goal of modernizing airport infrastructure in the region. In August, Adani Energy Solutions and Africa50 announced a $1.22-billion investment in Kenyas power infrastructure .
Strategic Expansion and Financial DetailsThe announcement was revealed in filings with the Bombay Stock Exchange (BSE) and the National Stock Exchange of India (NSE). Although AIP has not commenced operations, it has been officially registered under Kenya's Companies Act of 2015 as a subsidiary of GAO.
The subsidiary will start with a share capital of Ksh675 million ($5.2 million), comprising 6,750 shares priced at Ksh100,000 ($775) each. The setup of AIP involved no related party transactions or regulatory issues, and GAO maintains full ownership.
The formation of AIP is seen as a crucial step towards enhancing Kenya's airport infrastructure. However, it arrives amidst ongoing debates regarding the potential leasing of Jomo Kenyatta International Airport (JKIA) to Adani. This proposal has encountered opposition from various stakeholders, including Kenya Airport Authority (KAA) workers and unions.
