JM Financial Fund, Elham invest in GMR Sports’ bond issue
Dubai Airport Updates: According to people with knowledge of the situation, closely held GMR Sports Venture, which owns a portion of the Delhi Capitals cricket team, raised ₹1,000 crores for three-year unlisted, unrated, secured bonds at a rate of sixteen per cent last week from JM Financial fund and Elham Credit Partners, a private credit fund owned by Hillhouse Investment.
Delhi Capitals of the Indian Premier League and Women’s Premier League are owned by JSW GMR Cricket, a 50:50 joint venture between GMR Sports and Sajjan Jindal’s company JSW Sports.
Abu Dhabi’s Etihad Airways sees a $143 mn profit in 2023 as passenger numbers rise
The Abu Dhabi-based airline Etihad Airways reported on Wednesday that it made a USD 143 million profit in the previous year, attributing its success to an increase in customers. Despite being small, it is a victory for the long-struggling airline, which had severe losses during the coronavirus pandemic lockdowns along with other carriers.
In contrast to USD 4.9 billion in 2022, Etihad’s revenue in 2023 was USD 5.5 billion. It only made $25 million in profit in 2022. It revealed that it lost an astounding USD 1.7 billion in 2020 and USD 478 million in 2021. Etihad flew 14 million passengers last year, compared to 10 million the year before.
The rulers of Abu Dhabi formed Etihad in 2003 to compete with the well-established government-owned carrier Emirates in Dubai. Emirates has a wider network and a larger fleet. Abu Dhabi’s capital is about 115 kilometres (70 miles) away from Dubai International Airport, the airline’s home base. The two airlines compete in the long-haul carrier market, making use of their country’s strategic location as an east-west transit hub.
Even before the pandemic, Etihad struggled with its business model and implemented cost-cutting measures. In an attempt to compete with Emirates and Qatar Airways, Etihad has aggressively acquired holdings in airlines from Europe to Asia, resulting in a loss of around USD 6 billion since 2016.
The world’s biggest airport will be built in this desert. Know about the plan in detail
After more than 10 years from its modest start in 2013, the rulers of the United Arab Emirates intend to make Al Maktoum International Airport, also known as Dubai World Central, the largest airport in the world. CNN reports that the government agencies intend to try to expand its capacity through “the application of innovative technology and refurbishments to rethink the use of space”. Currently serving 100 million passengers a year, there are plans to add 20 million more.
The largest airport in the world
The CEO of Dubai Airport, Paul Griffiths, stated in an interview with CNN that the airport expects 88.2 million passengers in 2024 and 93.8 million in 2025.
Airport design
He added that plans are in the works for the future mega-airport. The huge, three-dimensional scale model was on exhibit by the authorities during the 2023 Dubai Air Show. The model includes six parallel axes.
Increased cargo traffic
Due to the Huthi rebels in Yemen’s attacks on shipping across the Red Sea, cargo traffic at Dubai World Central surged by 20.4% in the last quarter of 2023. Three oil labourers were killed in January 2022 when the Huthis, having vowed to strike Israel and its allies, launched drones and missiles at vital UAE infrastructure. On the grounds of Abu Dhabi Airport, it also caused a fire.
Dubai ‘Aerotropolis’
The airport will constitute a fully-fledged “aerotropolis” upon completion of the project. Dubai’s growing aviation and aerospace industrial ecosystem will be housed at the Mohammed bin Rashid Aerospace Hub. The recently announced $950 million Emirates Engineering Centre will be located there.
FAQs
What is the development strategy for Dubai Airport?
The United Arab Emirates’ rulers intend to expand Dubai World Central, also known as Al Maktoum International Airport, into the largest airport in the world by 2025, able to handle 93.8 million passengers.
How has Dubai Airport’s cargo traffic increased?
In the final quarter of 2023, cargo traffic at Dubai World Central surged by 20.4% due to attacks on vessels via the Red Sea by the Huthi rebels in Yemen.