New Delhi: The Adani Group announced a $600 million bond sale denominated in US dollars carrying a 7.75 per cent coupon for a 20-year tenure. A bond sale is basically meant to raise funds. However, it is interesting that the bond sale was announced suddenly on Wednesday after the ports-to-retail conglomerate led by billionaire Gautam Adani had postponed it in October 2024.
The Adani Green dollar bond sale was announced with an additional 0.75 per cent coupon, compared to the October pricing of 7 per cent, Bloomberg reported, citing a person familiar with the matter. The October bond sale was delayed owing to a pushback on pricing by investors, according to the report. Proceeds from the bond sale will be used to repay foreign currency loans, said the person cited above.
Why Adani group raised coupon price
The higher coupon price is linked to the market conditions following Donald Trump’s win in the US presidential polls which have led to a jump in global risk appetite. This has resulted in a higher borrowing cost for Adani Group. Bond spreads have narrowed in the aftermath of Trump’s win, Bloomberg reported. Asian bond spreads are down 10 basis points compared to mid-October. In comparison, US Treasury yields have jumped 36 points since Trump’s win, according to Bloomberg data. Adani Group joins the likes of Alibaba Group and SBI which raised debt worth $7l5 billion earlier this week.
Adani Green share price history
Adani Green’s share price was down 5.49 per cent in the past 5 days, The company’s share price was down 17.76 per cent in the past month. In the past 6 months, Adani Green’s share price slumped 24.33 per cent. However, the comoany’s share price was up 51.91 per cent in the past year, according to NSE data.
Adani Infra launches open offer for PSP Projects
Adani Infrastructure launched an open offer to acquire a 30.07 per cent stake in PSP Projects for a consideration of Rs 685.36 crore. PSP Projects promoter Prahladbhai S Patel will offload a 30.07 per cent stake in the company, out of his total holdings equalling a 47.76 per cent stake.
Gautam Adani-led Adani group on Tuesday kicked off a dollar bond sale which had been postponed earlier. Here’s what prompted the sale Markets Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
