Adani Enterprises to raise Rs 1,000 cr via NCDs, issue opens July 9
This is Adani Enterprises' second public issuance of secured, rated, listed redeemable, non-convertible debentures
Adani Enterprises Ltd (AEL), the flagship listed entity of billionaire Gautam Adani's Adani Group, on Sunday (July 6) announced a Rs 1,000 crore NCD issue offering up to 9.30 per cent per annum.
The issue opens on Wednesday, July 9, and closes on July 22, a company statement said. It offers an effective yield of up to 9.30 per cent per annum.
This is Adani Enterprises' second public issuance of secured, rated, listed redeemable, non-convertible debentures.
Market response
"This new issuance follows the strong market response to AEL's debut NCD offering, which witnessed capital appreciation for debt investors after a rating upgrade within six months, reflecting the group's consistent delivery and financial robustness," said Jugeshinder 'Robbie' Singh, Group CFO, Adani Group, in the statement.
"As the incubator of India's most critical energy and transport utility platforms — including Adani Ports & SEZ, Adani Energy Solutions, Adani Power, and Adani Green Energy — AEL is successfully scaling the next generation of infrastructure businesses across airports, roads, data centres, and the green hydrogen ecosystem. Each of these verticals is poised to play a transformative role in India's journey toward a USD 5-trillion economy," he added.
Earlier NCD issue
AEL's first NCD issuance of Rs 800 crore, launched in September last year, was fully subscribed on the first day. AEL is the only corporate (outside of NBFCs) offering a listed debt product for retail investors, the release added.
The proposed NCDs have been rated Care AA-; Stable and [ICRA]AA- (Stable).
The base size issue is Rs 500 crore, with an option to retain over-subscription up to an additional Rs 500 crore (greenshoe option) aggregating up to Rs 1,000 crore.
The NCDs have a face value of Rs 1,000 each. Each application will be for a minimum of 10 NCDs and in multiples of 1 NCD thereafter, making the minimum application size of Rs 10,000.
NCD proceeds
"At least 75 per cent of the proceeds from the issuance will be utilised towards the prepayment or repayment, in full or in part, of the existing indebtedness availed by the company and the balance (up to maximum of 25 per cent) for general corporate purposes," the statement said.
Nuvama Wealth Management Ltd, Trust Investment Advisors Pvt Ltd and Tipsons Consultancy Services Pvt Ltd are the lead managers to the issue.
The NCDs are available in tenors of 24 months, 36 months, and 60 months with quarterly, annual, and cumulative interest payment options across eight series.