The bonds will offer about 6.9 per cent over a four-year tenor and the Adani-owned MIAL will use the proceeds to refinance debt raised in 2022, the statement mentioned.
Photo: IANS
The Adani Group issued an official press release on Tuesday informing that it has raised USD 1 billion from global investors led by New York-based Apollo Global Management to refinance the existing debt of Mumbai International Airport Ltd (MIAL).
The bonds will offer about 6.9 per cent over a four-year tenor and the Adani-owned MIAL will use the proceeds to refinance debt raised in 2022, the statement mentioned.
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“The transaction involves issuance of USD 750 million notes maturing July 2029 which shall be used for refinancing. The financing structure also includes provision to raise an additional USD 250 million, resulting in total financing of USD 1 billion,” according to the statement.
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“This is India’s first investment grade (IG) rated private bond issuance in the airport infrastructure sector,” the statement mentioned.
“The transaction was led by Apollo-managed funds, with participation from a syndicate of leading institutional investors and insurance companies which included BlackRock-managed funds, Standard Chartered among others, underlining global confidence in India’s infrastructure opportunity and Adani Airports’ operating platform,” the statement mentioned.
Besides Apollo, other lenders include Metlife Inc, BlackRock Inc and Hong Kong-based FWD Insurance.
The transaction will provide enhanced financial flexibility for MIAL’s capital expenditure programme to develop, modernise and enhance capacity, the statement mentioned.
MIAL is managed by Adani Airport Holdings Ltd (AAHL), a subsidiary of the group’s flagship firm Adani Enterprises Ltd. AAHL holds 74 per cent stake in MIAL and the remaining 26 per cent is held by the Airports Authority of India.
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