New Delhi, Jul 7 (PTI) GMR Infrastructure on Tuesday said it has received Rs 4,565 crore as part of the second tranche payment following completion of a deal with France's Groupe ADP for the airport business.

Under the transaction, which was first announced in February, the French group would acquire 49 per cent ownership in the airport business of the GMR Group.

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"The contours of the deal have, however, undergone slight modifications considering the unprecedented circumstances arisen due to the (coronavirus) pandemic," GMR Infrastructure said in a release.

As per the revised share purchase agreement, the second tranche of the investment for 24.01 per cent stake in GMR Airports Ltd has been structured in two parts.

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A firm amount for a total of Rs 4,565 crore, including Rs 1,000 crore equity infusion in GMR Airports, has been received while "earn-outs amounting to Rs 1,060 crore, subject to the achievement of certain performance related targets by GMR Airports Limited up to FY2024," the release said.

According to the release, Groupe ADP has increased earn-outs for GMR which are now pegged at up to Rs 5,535 crore compared to the earlier Rs 4,475 crore.

"These earn-outs are linked to the achievement of certain agreed operating performance metrics as well as the receipt of certain regulatory clarifications over the next 5 years," it added.

GMR Infrastructure said the amount of Rs 4,565 crore would be primarily used in servicing the debt that would help deleverage as well as result in improved cash flows and profitability.

As part of the terms of transaction, GMR would retain management control over the airports business with Groupe ADP having the customary rights and board representation at GMR Airports and its key subsidiaries.

On February 20, GMR Infrastructure announced that Groupe ADP would acquire 49 per cent stake in its airport business for Rs 10,780 crore.

Under a share purchase agreement, Groupe ADP would have 49 per cent stake in GMR Airports for an equity consideration of Rs 10,780 crore. This values GMR Airports at the base post money valuation of Rs 22,000 crore, it had said in a release.

Out of the total amount, Rs 9,780 crore would be towards secondary sale of shares by GMR group and Rs 1,000 crore would be equity infusion in GAL, it had said.

On February 26, GMR Infrastructure said it has received Rs 5,248 crore from Groupe ADP as part of the deal.

Currently, GMR Group operates Indira Gandhi International Airport in New Delhi, Hyderabad's Rajiv Gandhi International Airport and Mactan Cebu International Airport in partnership with Megawide in Philippines.

Groupe ADP develops and manages airports, including Paris-Charles de Gaulle, Paris-Orly and Paris-Le Bourget.

Among other projects, airports at Mopa in Goa and at Heraklion, Crete, Greece in partnership with GEK Terna, are under development by GMR Group.

(The above story is verified and authored by Press Trust of India (PTI) staff. PTI, India’s premier news agency, employs more than 400 journalists and 500 stringers to cover almost every district and small town in India.. The views appearing in the above post do not reflect the opinions of LatestLY)