The Heraklion airport at Crete in Greece
The Heraklion airport at Crete in Greece

GMR-TERNA JV signs concession agreement for new airport in Greece

ANI | Updated: Feb 22, 2019 12:23 IST

Mumbai (Maharashtra) [India], Feb 22 (ANI): GMR Airports and its Greek partner TERNA on Friday signed a concession agreement for design, construction, financing, operation, and maintenance and exploitation of a new international airport at Crete in Greece.
The consortium plans to invest over 500 million euros for development of the new airport. The concession period for the project is 35 years including phase one construction of five years.
Greece is one of the leading international tourist destinations, attracting nearly 27 million tourists per year. Crete is the largest and most visited island in Greece. Its Heraklion airport is the second largest airport in Greece with traffic growing at 10 per cent over the past three years.
The entire project will be funded through a mix of equity, accruals from the existing airport, and financial grant being provided by the government of Greece. Thus debt is not required in this project.
"This is GMR Group's first foray in the European Union region and we eagerly look forward to expanding our footprint," said Srinivas Bommidala, GMR's Business Chairman, Energy and International Airports. "The signing of the concession agreement is a significant milestone in the growth journey of GMR Airports' and reinforces our leadership position."
GMR Group is a leading global infrastructure conglomerate with interests in airports, energy, transportation and urban infrastructure.