Adani Group units secure $275 million in foreign currency loans from global banks
Mumbai: Two Adani Group entities have raised a combined $275 million through foreign currency loans, as the conglomerate continues to expand its borrowing, according to people familiar with the matter, Bloomberg reported.
Adani Airport Holdings Ltd. secured $150 million via a syndicated foreign currency loan from a consortium including Barclays Plc, DBS Bank Ltd., First Abu Dhabi Bank, and Mitsubishi UFJ Financial Group, the people said, requesting anonymity as the details remain confidential.
Separately, Adani Ports & Special Economic Zone Ltd. raised $125 million through a bilateral arrangement with Mitsubishi UFJ Financial Group, they added.
The fresh financing underscores increasing investor confidence in lending to the Adani Group, which has been tapping credit markets across its businesses.
Over the past six months, the group has signed more than $10 billion in new credit facilities, accounting for about a third of its total debt.
S&P Global Ratings recently cited the conglomerate’s continued access to credit as one of the reasons for revising the outlook on three Adani units to positive.
The airport loan was priced about 300 basis points over the Secured Overnight Financing Rate (SOFR), while the ports loan carried a spread of 215 basis points over SOFR.
Both loans have a tenor of four years, with proceeds earmarked for dollar bond buybacks and capital expenditure, the people said.
In June, Mumbai International Airport Ltd., operated by Adani Airport Holdings Ltd., raised about $750 million from global investors led by Apollo Global Management Inc. to refinance debt for India’s second-largest airport.
The structure also provided scope for an additional $250 million to fund capital spending and capacity expansion.
Representatives for DBS and First Abu Dhabi Bank declined to comment, while spokespeople for Adani Group and other lenders did not immediately respond to queries.
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