Adani Ports, Adani Airports eye Rs. 1,500cr bond market entry
What's the story
Adani Ports and Adani Airports Holding are in discussions with merchant bankers to raise up to Rs. 1,500 crore each through local currency bonds. These companies are expected to be the first in the Adani Group to enter the bond market as part of the conglomerate's plan to raise Rs. 10,000 crore in FY24. They are likely to issue bonds as early as September.
Details
Fundraising will be finalized after SEBI report
The Adani Group is currently testing investors' appetite for its securities and will only enter the market when there is sufficient demand. The fundraising plans will be finalized after the Securities and Exchange Board of India (SEBI) submits its report on its investigation into Hindenburg Research's allegations, which is expected by Monday. Adani Enterprises and Adani Electricity Mumbai are also exploring potential debt issues.
What Next?
Adani Group has been absent from bond market since January
The return to the local bond markets signifies a renewed confidence in the group's ability to raise funds. The group has faced scrutiny since January when a report by Hindenburg Research raised concerns over corporate governance, leading to a sharp selloff in Adani stocks. It needs to be seen how the market responds to Adani Group's return from hiatus.