Adani Enterprises Limited (AEL) announced today the launch of a public issue of non-convertible debentures (NCDs) to raise up to ₹800 crore. The base issue size is ₹400 crore, with an option to retain oversubscription up to another ₹400 crore.
The shares of Adani Enterprises Limited (AEL) were trading at ₹3,048.00 down by ₹8.95 or 0.62 per cent on the BSE today at 10:15 am.
The NCDs will have a face value of ₹1,000 each and will be secured, rated, and listed. The issue opens on September 4, 2024, and closes on September 17, 2024. The debentures will be listed on both BSE Limited and National Stock Exchange of India Limited.
AEL is offering various options to investors, including tenures of 24, 36, and 60 months, with annual, quarterly, and cumulative interest payment choices. The coupon rates range from 9.25 per cent to 9.90 per cent per annum, depending on the series chosen.
The company plans to use the proceeds for general corporate purposes. The NCDs will be secured by a first-ranking pari-passu charge on AEL’s loans and advances, maintaining a security cover of at least 110 per cent of the outstanding principal and interest.
This move comes as part of AEL’s strategy to diversify its funding sources. The minimum application size for the NCDs is ₹10,000, and investments can be made in multiples of ₹1,000 thereafter.