GMR group to buy 50 percent stake owned by its partner
The Board of Approvals which is under the Union Ministry of Commerce has given its conditional nod to a GMR Group proposal in order to buy out the 50 percent stake which is owned by its partner Malaysian Aerospace Engineering in an aircraft maintenance repair and overhaul (MRO) unit.
The MRO unit is located at a Special Economic Zone (SEZ) that is situated near the Hyderabad International Airport. Post deliberations, the Board has also decided to approve the proposal subject to each of the entity independently fulfilling some of the required conditions.
The aforesaid was stated by the Board of Approvals as per the minutes of its recent meeting. As part of conditions to be fulfilled, the GMR Group would have to ensure the seamless continuity of SEZ activities, along with unaltered responsibilities and obligations for the altered co-developer entity.
This might also help the relationship between the two big companies. The thing has yet not been termed finalised. Post the buy the details will be made public as also how the company will work. This might also help in reviving the company which probably might not be going well.
Source: The Economic Times
GMR Group, Hyderabad International Airport, maintenance repair and overhaul, Malaysian Aerospace Engineering, Special economic zone
