INDIA BUSINESS WORLD - DECEMBER 1^st - DECEMBER 15^th - 2007

DELHI INTERNATIONAL AIRPORT (DIAL) INKS PACT WITH BANKS FOR LOANS WORTH RS 4,940 CRORE

Delhi International Airport (DIAL) signed pacts with 12 banks to secure a loan aggregating to Rs 4,940 crore. The JV plans to invest Rs 8,900 crore over the next three years to modernise and expand the country's second busiest airport. The debt:equity ratio for the project would be 1.25:1, equity and quasi-equity of about Rs 3,950 crore and debt of Rs 4,940 crore. "The rupee component of the debt amounting to Rs 3,650 crore has been raised with 17 year door-to-door tenor at an interest rate of 10.50% and ECB component of $350 million has been raised with a 13-year door-to-door tenor," DIAL chief financial officer Shirish Navlekar said.