Adani Green Energy Pursues $400 Million Offshore Loan for Renewable Project

9 Apr 2024 , 04:15 PM

Adani Green Energy Ltd. is in discussions to secure approximately $400 million via an offshore loan to finance an upcoming renewable energy project.

The potential foreign currency loan, spanning from seven to ten years, may have its pricing linked to the Secured Overnight Financing Rate (SOFR), as per undisclosed sources.

The company is engaging with a consortium of banks, including Mitsubishi UFJ Financial Group Inc., First Abu Dhabi Bank PJSC, Standard Chartered Bank, and Sumitomo Mitsui Financial Group Inc., according to individuals familiar with the matter.

The fundraising activities signify the Adani Group's resurgence in investor confidence following scrutiny from US shortseller Hindenburg Research in early 2023.

Last month, the conglomerate received orders worth seven times the size of its first dollar-denominated public bond sale since the crisis. Additionally, in December, Adani Green secured a $1.4 billion loan from a consortium of banks.

India aims to nearly triple its clean energy capacity by the end of the decade, primarily through solar and wind projects, as part of efforts to reduce its reliance on fossil fuels. The nation also plans to invest $30 billion in building transmission lines to connect renewable energy sources to the grid.

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