India’s Adani Enterprises eyes first-ever public debt issue in coming weeks, sources say By Reuters

By Bhakti Tambe

MUMBAI (Reuters) – India’s Adani Enterprises, the flagship of the Adani group, plans to launch its first-ever public bond issue in the coming weeks to raise up to 6 billion rupees ($71.7 million), people familiar with the matter said on Tuesday.

“The company has already filed a draft prospectus with the Securities and Exchange Commission of India. So the issue is set to start in mid-August after final approval,” said one of the sources, who asked not to be identified as he was not authorised to speak to the media.

Adani Enterprises decided not to go ahead with its maiden retail bond offering of up to Rs 10 billion last year after US-based short-selling firm Hindenburg Research accused the group of improper use of offshore tax havens and stock manipulation.

Adani Group denied Hindenburg’s allegations, but its group companies’ shares lost more than $100 billion in value before recovering in late 2023.

Last week, the company informed the exchanges that it had filed a draft prospectus with the market regulator, and that the public issue would be of a base size and an initial subscription option of Rs 3 billion each.

CareEdge has assigned an A+ rating to Adani Enterprises’ bonds.

Trust Investment Advisors, IK Capital Services and Novama Wealth Management are the lead arrangers for the issue, the sources said.

Adani Group and the lead organizers did not immediately respond to an email from Reuters seeking comment.

Since the Hindenburg report was released in January 2023, Adani Group companies have raised over $670 million through listed rupee bonds and $1 bonds.

Adani Energy Solutions is likely to launch a share sale this week to raise more than $600 million, Reuters reported on Monday.

The sale of existing shares will be Adani Group’s first fundraising from equity markets after cancelling a $2.5 billion share sale in February 2023.

(1 USD = 83.7250 INR)