GMR Airports Infrastructure Ltd. agreed to buy an additional 10% stake in its majority-owned unit Delhi International Airport Ltd. (DIAL) from Fraport AG Frankfurt Airport Services Worldwide for $126 million.

“The acquisition of additional stake in DIAL is in line with our objective of consolidating our presence in core assets of the group and signifies the importance of Delhi airport in the overall group portfolio,” GMR Group Corporate Chairman Kiran Kumar Grandhi said in a statement.

GMR currently owns a 64% stake in DIAL and the acquisition of Fraport’s 10% minority stake will boost the New-Delhi based airport operator’s shareholding in the subsidiary to 74%. Airports Authority of India (AAI) holds a 26% stake in DIAL.

The deal, subject to approvals from GMR shareholders and AAI, is likely to close within 180 days.

The company said Fraport, which has been one of the original shareholders, extended significant technical support to Delhi airport as per their role of airport operator.

Following the transaction, Fraport’s appointment as the airport operator of DIAL will continue to be governed by the Airport Operator Agreement or any other agreement executed related to its role as the airport operator, it added.

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