Adani Group firm raises $362.50 million through 20-year green bonds

Funds will be used to retire foreign currency and rupee loans; balance will go towards capex and other purposes

Adani Green Energy, through its three subsidiaries has raised $ 362 million through sale of green bonds for 20- year tenure, the company informed exchanges on Friday.

“The respective board of directors of Adani Renewable Energy, Wardha Solar and Kodangal Solar Parks, being wholly-owned subsidiaries of Adani Green Energy, directly or indirectly, have approved the issuance of US Dollar-denominated 20-years senior secured green bonds aggregating to $362.50 million,” the company said in a statement to the exchanges.  

These funds will be used to repay their respective foreign currency loans and rupee borrowings, and the balance will go towards capital expenditure, other project-related liabilities or for general corporate purposes, in accordance with guidelines prescribed by the Reserve Bank of India.

In August, Adani Green entered into an agreement with Essel Infra to buy its 205 megawatt (Mw) of solar assets for Rs 1,300 crore.

The company added the bond will bear interest at the rate of 4.625 per cent a year, payable semi-annually. They will be listed on the Singapore Exchange Securities Trading platform.

Barclays, Citigroup, Credit Suisse, Deutsche Bank, JP Morgan, MUFG, and Standard Chartered Bank were among the global coordinators and book runners for this issue.

“KPMG has provided an independent assurance on 'the Issuers' green bond framework. SSP Global Ratings has also conducted a green evaluation in relation to the Notes and has issued an overall score of E1/90,” the company said in its statement on Friday.