{"id":49661,"date":"2023-10-28T14:49:06","date_gmt":"2023-10-28T09:19:06","guid":{"rendered":"https:\/\/aviationa2z.com\/?p=49661"},"modified":"2024-05-23T13:07:15","modified_gmt":"2024-05-23T07:37:15","slug":"adani-apsez-adds-new-aircraft-leasing-unit-in-gift-city","status":"publish","type":"post","link":"https:\/\/aviationa2z.com\/index.php\/2023\/10\/28\/adani-apsez-adds-new-aircraft-leasing-unit-in-gift-city\/","title":{"rendered":"Adani APSEZ Adds New Aircraft Leasing Unit in GIFT City"},"content":{"rendered":"\n

MUMBAI-<\/strong> Adani<\/a> Ports and Special Economic Zone (APSEZ) has officially established a fully-owned subsidiary company called Udanvat Leasing IFSC unit. This subsidiary’s primary purpose is to engage in the ownership and leasing of aircraft. <\/p>\n\n\n\n

This development was disclosed in an exchange filing on both the BSE and the National Stock Exchange of India.<\/p>\n\n\n\n

\"Adani
Photo: Wikipedia Commons<\/figcaption><\/figure>\n\n\n\n

Adani Incorporates Aircraft Leasing Unit<\/h2>\n\n\n\n

The Adani Group already wields significant influence in the Indian aviation sector, overseeing the management of seven airports <\/a>across the country. <\/p>\n\n\n\n

These airports include Ahmedabad, Mumbai, Jaipur, Thiruvananthapuram, Guwahati, Lucknow, and Mangaluru. This operation is conducted through its subsidiary, Adani Airports Holding.<\/p>\n\n\n\n

The exchange filing provides further details, stating, “Udanvat is incorporated in Gujarat International Finance Tec-City (GIFT City), Gandhinagar, Gujarat, India, and registered with the Registrar of Companies, Gujarat at Ahmedabad on October 23, 2023.”<\/p>\n\n\n\n

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Photo: Credits to Creator<\/figcaption><\/figure>\n\n\n\n

GIFT City is Hub<\/h2>\n\n\n\n

GIFT City, as India’s exclusive International Financial Services Centre (IFSC), collaborates with the International Finance Services Centres Authority (IFSCA) to position India as a significant hub for aviation financing and aircraft leasing. This effort aims to attract airlines and lessors away from conventional leasing hubs such as Dublin and Singapore.<\/p>\n\n\n\n

An illustrative example of this initiative is Air India’s acquisition of India’s inaugural Airbus A350-900 aircraft in September 2023, facilitated through a finance lease transaction with HSBC via GIFT City. <\/p>\n\n\n\n

Additionally, IndiGo is in the process of finalizing a similar transaction through GIFT City, with the financial backing provided by the Bank of China.<\/p>\n\n\n\n

However, it’s worth noting that aviation finance and aircraft leasing in India remain intricate and challenging due to the incomplete enforcement of the international law established by the Cape Town Convention. <\/p>\n\n\n\n

This convention safeguards the rights of lessors and creditors in case of adverse circumstances but is not yet fully enforced in India.<\/p>\n\n\n\n

\"Adani
Photo: File:Busy apron of Trivandrum international airport.jpg – Wikimedia Commons<\/figcaption><\/figure>\n\n\n\n

MCA Exemptions<\/h2>\n\n\n\n

In a welcome development, the Ministry of Corporate Affairs (MCA) recently granted an exemption for transactions or agreements governed by the Cape Town Convention concerning aircraft, aircraft engines, airframes, and helicopters. <\/p>\n\n\n\n

These exemptions specifically exclude such transactions from the restrictions of moratorium provisions as defined in Section 14(1) of the Insolvency and Bankruptcy Code, 2016. <\/p>\n\n\n\n

Experts highlight the significance of this decision, particularly in the context of insolvency resolution proceedings involving airlines, and view it as a step forward in India’s commitment to complying with the Cape Town Convention.<\/p>\n\n\n\n

Stay tuned with us. Further, follow us on social media for the latest updates.<\/p>\n\n\n\n

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Adani Group Now Eyes 25 Private Airports that AAI want to Privatize<\/a><\/blockquote>