According to reports, the Adani Group recently raised about $275 million (roughly Rs 2500 crores) through two foreign currency loans as the Indian businessman keeps pushing debt levels higher.
Key Highlights
- Adani raises ₹24,000 crore ($2.75 billion) in offshore loans from global lenders for expansion plans.
- Funds to support group’s energy, infrastructure growth; reflects sustained international investor confidence in Adani.
A group of banks and financial institutions, including Barclays PLC, DBS Bank Limited, First Abu Dhabi Bank, and Mitsubishi UFJ Financial Group, have contributed a total of $150 million to Adani Airport Holdings Limited.
Additionally, Adani Ports and Special Economic Zone Limited has also obtained $125 million through a bilateral agreement with Mitsubishi UFJ Financial Group.
With plans to raise more money for its numerous businesses, the Adani Group has regained the trust of investors. Over $10 billion in new credit, or roughly one-third of the total debt, has been raised by the group in the last six months. According to reports, S&P Global Ratings began to view three Adani units favorably in part because of the greater credit availability.
Also Read: Adani Enterprises Plans Bond Sale with 2-5 Year Maturity to Raise Rs 1,000 Cr
Highlights of the Story
- Multi-crore offshore debt is raised by Adani units from multinational corporations.
- Adani Airport Holdings Limited has obtained $150 million in total.
The interest rate on the airport loan will be approximately 300 basis points higher than the Secured Overnight Financing Rate (SOFR), and the interest rate on the port loan will be approximately 215 basis points higher than SOFR. One benchmark interest rate is the Secured Overnight Financing Rate. The terms of both loans are four years. The money raised will go toward capital expenditures and the buyback of dollar bonds.
