ACSA moves to India’s Supreme Court in Mumbai airport's stake dispute
Airports Company South Africa (ACSA), a minority partner in Mumbai International Airport (MIAL), India has approached the country’s Supreme Court to challenge arbitration proceedings majority partner GVK Airports Holdings has initiated against it for alleged breach of the shareholder’s agreement.
June 11, 2020: Airports Company South Africa (ACSA), a minority partner in Mumbai International Airport (MIAL), India has approached the country’s Supreme Court to challenge arbitration proceedings with majority partner GVK Airports Holdings, who has initiated against it for alleged breach of the shareholder’s agreement.
ACSA wants a person of its choice, or someone appointed by the top court, to be nominated to the three-member arbitral tribunal that GVK has approached.
The tribunal is to look into ACSA’s bid to sell its stake in the Mumbai airport operator.
ACSA and Bidvest Group, another South African firm, which collectively own 23.5 percent stake in MIAL, are seeking to exit from the airport venture. While GVK and Adani Group are in the fray to acquire their stakes.
GVK owns around 50.5 percent in MIAL while Airports Authority of India (AAI) holds the rest close to 26 percent stake.
GVK had also invoked arbitration against Bidvest before a tribunal of three former judges, which in January held that the South African investor cannot transfer its stake in MIAL pending the arbitration.
