Airport Privatisation in India - Update

Airport Privatisation in India - Update Bruxelles Frankfurt London capital of Spain Milano München New Delhi New York Paris Singapore Tokyo that no new airport would be allowed to be built within, say, a 150 km area of Delhi and Mumbai airports. Restrictions on consortia membership The Invitation specifies that companies will be prohibited from being a member of more than one consortium submitting an musing of interest (EOI) for the same airport, but it is not clear what happens if, for example, a confederacy forms ii separate investment vehicles bidding for each airport - would that be permitted? Would crossownership restrictions slang? February 17 saw the publication of the G everyplacenment of Indias Invitation to Register an face of Interest (the Invitation) in respect of the privatisation of Mumbai and Delhi airports. Following our briefing in marching music 2004 on the privatisation generally, this update focuses on the information contained in the Invitation and examines a number of the key commercial and legal issues for the potential bidder that the document raises, found on our practical experience of transactions in India. The Invitation itself is lendable at www.airportsindia.org.in.

Control The Government has announced that it is intending to retain a 26 per cent shareholding in each of the joint venture companies which will be organize for the development of the two airports. This percentage is significant. Under Indian company law, special resolutions must be passed by at least(prenominal) 75 per cent of issued voting shares. By retaining a 26 per cent holding, the Government is seeking to retain a mark of control over the joint venture companies. Subject to the joint venture arrangements to be negotiated, the Government will effectively have a veto over important business decisions of the companies, for example the issue of new shares, the granting of loans or mergers. The obvious question for the private operator is whether - in... If you want to beguile a full essay, order it on our website: Orderessay

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