The Adani Group has made a formal offer to buy 23.5 percent stake in Mumbai airport, reported The Economic Times. The decision, the report said, will set the stage for a direct competition between the Adani Group and the GVK Group that to has shown interest in increasing its stake.

As per the report, the group has offered to buy stakes that are currently held by two South African firms. These firms, the report said are Airports Company South Africa (ACSA) and Bidvest, the joint venture partners of GVK in the Mumbai International Airport Ltd (MIAL). The report said that the close sources have said that Adani Group has set a value of Rs 9,500 crore for the stake.

According to the report, the South African firms have invoked the right of first refusal (RoFR) clause following the offer. The development, the report said, has forced the cash strapped GVK Group to scurry for funds.

The report said that the move by Adani to grab a large share in India’s second largest airport has put the GVK in a spot of bother. GVK will now have time till February-end to comply or face a protracted corporate or legal battle, added the report.