 "Adani, Adani Group")
The Adani group on Friday said through Endeavour Trade and Investment, Adani Cement has entered into definitive agreements for a fresh facility of $3.5 billion to refinance debt taken for the acquisition of Ambuja Cements and ACC.
The refinancing programme was concluded with 10 international banks with a debt maturity of up to 3 years. The group said the facility will result in an overall cost saving of approximately $300 million for the Adani Cement vertical.
In September 2022, the Gautam Adani-promoted conglomerate acquired promoter holding in two cement units — Ambuja Cements and ACC, in a deal valued at $6.6 billion. The buy catapulted Adani Cement to the second-largest cement maker position in India.
The group said, with Friday’s refinancing, the cement vertical’s net debt to Ebitda is now under 2x. Ebitda is earnings before interest, taxation, depreciation and amortisation.
DBS Bank, First Abu Dhabi Bank, Mizuho Bank and MUFG Bank acted as mandated lead arranger and bookrunners and underwriter to the transaction.
In addition, Barclays Bank PLC, BNP Paribas, Deutsche Bank AG, ING Bank, Sumitomo Mitsui Banking Corporation and Standard Chartered Bank acted as Mandated Lead Arrangers and Bookrunners for the transaction.
Some of the other recent funding-related activities at the conglomerate include French major Total Energies' 300 million US dollars in a joint venture with Adani Green Energy in September and sovereign fund Qatar Investment Authority's 500 million US dollars for a 2.7 per cent stake in Adani Green Energy in August. In June, GQG Capital Partners also invested close to 1 billion US dollars in Adani Enterprises and Adani Green Energy via block deals.
