Adani closes oversubscribed bond offer as it puts 25GW renewables target in its crosshairs

A subsidiary of Adani Green Energy was contracted to build a 600MW wind-solar hybrid system in India at the start of 2021. Image: Adani

India-based renewables developer Adani Green Energy has raised US$750 million through a green bond offer, securing the debt and equity needed to reach a 25GW renewables target.

The bond offer, which was 4.7x oversubscribed, allows Adani to draw up to US$1.7 billion – including the present issue – complementing a US$1.35 billion revolving construction framework agreement for senior debt funding.

Dani said the offer meant it had completed the final phase of its capital management plan, meaning it has established a fully-funded programme of both debt and equity for the renewables giant to meet its aim of developing 25GW of renewables projects by 2025.

Adani has priced the three-year issuance at a fix coupon of 4.375%.

Vneet S Jaain, managing director and CEO at Adani Green Energy, said the extent to which the bond offer was oversubscribed was testimony of the confidence investors have in Adani’s renewables platform.

“This ListCo Senior Green Bond issuance is yet another landmark transaction for AGEL and fully funds our pipeline of projects and reinforces our commitment towards being a sustainability focused global infrastructure platform. We expect to further accelerate our footprint and are firmly on track to become the world’s largest renewable energy company by 2030,” he added.

The financing deal comes four months after Adani agreed to acquire SoftBank-backed developer SB Energy, and with it the company’s 5GW-strong portfolio of wind and solar assets in India.