AHMEDABAD: Adani Green Energy Limited (AGEL), the renewables arm of ports-to-power conglomerate, Adani Enterprises Limited (AEL), on Monday announced its plans to redeem $750 million worth of notes (Holdco Notes) due on September 9. The company plans to redeem the notes some eight months before they mature.
“The company will pay $169 million from its internal accruals and company’s own reserves whereas $300 million are under consideration from a joint venture with TotalEnergies Renewables recently,” AGEL said in a statement.
AGEL proceeds from Initial tranche of the Promoter Preferential Allotment to the tune of $281 million, (approximately Rs 2,338 crores), are expected in the end of January 2024, and the funds shall be deposited into the Senior Debt Redemption Account (SDRA) of the Holdco notes.
As a result, the entire amount of the $750 million Holdco Notes is fully secured eight months prior to its maturity date,” the company said in a statement,
“With this outcome, AGEL has fully defeased the Holdco Notes, eight months prior to the maturity date and has further resulted in significant deleveraging in AGEL by way of equity proceeds while continuing to deliver on the growth plans,” AGEL stated.
According to AGEL, the notes are holdco, or holding company, notes. Around 56% of Adani Green is held by Adani family groups. The company executives had earlier announced a possibility to tap on the overseas bond market to issue Regulation-S and Regulation-D bonds in 2024.
“Underpinning the repayment is the successful equity capital raise program of $ 1.425 billion (includes $ 1.125 billion of preferential issuance by promoters and $ 300 million from TotalEnergies JV), reflecting the deep interest of long-term investors, strategic partners, coupled with unwavering promoter commitment to meet AGEL’s strategic priorities of achieving its target of 45 GW by 2030,” the company further added.
“The company will pay $169 million from its internal accruals and company’s own reserves whereas $300 million are under consideration from a joint venture with TotalEnergies Renewables recently,” AGEL said in a statement.
AGEL proceeds from Initial tranche of the Promoter Preferential Allotment to the tune of $281 million, (approximately Rs 2,338 crores), are expected in the end of January 2024, and the funds shall be deposited into the Senior Debt Redemption Account (SDRA) of the Holdco notes.
As a result, the entire amount of the $750 million Holdco Notes is fully secured eight months prior to its maturity date,” the company said in a statement,
“With this outcome, AGEL has fully defeased the Holdco Notes, eight months prior to the maturity date and has further resulted in significant deleveraging in AGEL by way of equity proceeds while continuing to deliver on the growth plans,” AGEL stated.
According to AGEL, the notes are holdco, or holding company, notes. Around 56% of Adani Green is held by Adani family groups. The company executives had earlier announced a possibility to tap on the overseas bond market to issue Regulation-S and Regulation-D bonds in 2024.
“Underpinning the repayment is the successful equity capital raise program of $ 1.425 billion (includes $ 1.125 billion of preferential issuance by promoters and $ 300 million from TotalEnergies JV), reflecting the deep interest of long-term investors, strategic partners, coupled with unwavering promoter commitment to meet AGEL’s strategic priorities of achieving its target of 45 GW by 2030,” the company further added.