Top Searches
Advertisement

Fitch Upgrades Outlook on Mumbai International Airport's USD Notes to Positive, Affirms 'BB+'

Updated: May 02, 2025 12:56

Image Source: Travel News
Fitch Ratings has changed Mumbai International Airport Limited (MIAL)'s USD 750 million senior secured notes due 2029 outlook to Positive from Negative while reaffirming the rating at 'BB+'. The move takes into consideration expectations of strengthening financials, robust passenger growth, and decreased funding risks. Read on for a comprehensive analysis:
 
Enhanced Financial Profile:
  • Fitch expects MIAL's leverage to be a 3.7x average in FY25-FY29, well below the earlier estimate of 4.8x.
  • Stronger EBITDA estimates will support capital expenditure, lessening debt dependence.
Tariff Adjustments & Revenue Growth:
  • The Airports Economic Regulatory Authority of India (AERA) will release new tariffs in June 2025.
  • New tariffs will increase revenue, strengthening MIAL's finances.
Passenger Growth & Market Strength:
  • MIAL, India's second-largest airport, recorded 55 million passengers in FY25, up from 53 million in FY24.
  • Mumbai’s growing metropolitan population supports long-term traffic expansion.
Adani Group’s Stake & Contagion Risk
  • Fitch reassessed contagion risk from Adani Group’s majority stake, concluding that MIAL remains financially stable.
  • The Indian government’s 26% shareholding via the Airport Authority of India (AAI) provides additional stability.
Capex & Navi Mumbai Airport Development:
  • MIAL is ringfenced from Navi Mumbai International Airport (NMIAL), 74% owned by MIAL.
  • NMIAL has raised committed equity for its first phase, with no financial burden on MIAL.
Future Prospects:
  • The last tariff order of AERA will be a crucial determinant of MIAL's financial future.
  • Ongoing access to funding and passenger additions may result in an upgrade of the rating.
This update highlights MIAL's enhanced financial health, robust market position, and strategic significance in India's aviation industry.
 
Sources: Fitch Ratings, Fitch Ratings, India Infoline

Advertisement

STORIES YOU MAY LIKE

Image Source: The Print
IIFL Finance Plots Bold Move: Board to Weigh Fresh Non-Convertible Securities Issue for FY 2025-26
Image Source: LinkedIn
IndiaMART Accelerates Digital Logistics, Buys Stake in Fleetx’s Fast Lane
Image Source: Equity Bulls
Safari Industries’ Safety Nets Pay Off-Halol Fire Insurance Claim Settled at ₹7.21 Lakh
Advertisement
Image Source: Equity Bulls
Aptech Ltd Bags ₹22.6 Million Order, Powering the Next Era of Digital Examinations
Image Source: Enrich Money
Royal Enfield’s Visionary Rides Again: Siddhartha Lal Steers Eicher Motors’ Future, Govindarajan Powers Up as MD
Image Source: Equity Bulls
GOCL Unpins IDL: Apollo Defence to Take Charge in Landmark ₹1.07 Billion Transaction
Image Source: IPO Central
A B Infrabuild Unveils Rights Issue at Just ₹37.50-A Golden Ticket for Shareholders
Advertisement
Live Blogs
From MI to RR: Akash Madhwal Swings Back with a Vengeance
IPL’s Six-Hitting Hotspots: Wankhede Nears 2,000 as Chinnaswamy Tops the Charts
Batting Beyond Limits: Prabhsimran Singh’s Historic 1000-Run Triumph for PBKS
Excuses Out, Action In: Rayudu Tells Pant to Lead from the Front After LSG’s Latest Slip
Top Stories
Image Source: LinkedIn
Swimming Up Success: Univastu India Secures Landmark Deal for Gen. Arun Kumar Vaidya Kridangan
Image Source: X.com
Ritco Logistics Shifts Into High Gear, Secures Big-Ticket Deals Across India
Image Source: Realty Plus Magazine
Sunteck Realty Shines Bright: Declares ₹1.5 Dividend, Delivers Robust Q4 Growth
Image Source: The Economic Times
Full Throttle Finance: Tata Motors Approves ₹500 Crore NCDs to Fuel the Road Ahead
Advertisement
Advertisement

Follow WOWNEWS 24x7 on:

Copyright 2024 WOWNEWS 24x7. All rights reserved. The WOWNEWS 24x7 is not responsible for the content of external sites. Read about our approach to external linking.

Powered By Just Imagine