Three subsidiaries of Adani Green Energy – Adani Green Energy (UP), Prayatna Developers and Parampujya Solar Energy — have raised ₹612.30 crore by their maiden domestic bond issuance, on private placement basis. The three firms collectively operate 930 megawatt (MW) of operational solar power projects.
“The rated, listed, secured, redeemable, non-convertible debentures (NCDs) of face value of ₹10,00,000 each, in multiple series, have an average annualised coupon rate of 7.83 per cent per annum (fixed) and a tenure up to around 12 years,” Adani Green Energy said in a statement.
The proceeds from the NCDs will be utilised to part-refinance existing rupee term loan bearing higher interest cost. The NCDs are rated AA/Stable by CRISIL and AA(CE)/ Stable by India Ratings. The NCDs will be listed on the wholesale debt market segment of BSE.
“Optimisation of the cost of borrowing is key to our capital management program and this transaction reinforces the company’s strategy,” Adani Green Energy, MD & CEO, Vneet S Jaain said.
‘Robust support’
The success of the domestic debt market issue will open up a new source of funding, allowing for more flexibility in capital structure while also lowering interest costs, he added.
“We are encouraged by the robust support from the finance community, which recognises the strength of the company’s business model and our capital management approach. We could manage this fund raising at favorable terms. This puts the company on a more solid platform for long-term growth,” Jaain said.
Part of the Adani group, Adani Green Energy develops, builds, owns, operates and maintains utility-scale grid-connected solar and wind farm projects. It has a global renewable portfolio of 20.3 gigawatt (GW) including operating, under-construction awarded and assets under acquisition catering to investment-grade counterparties.