Adani Enterprises-led Mumbai International Airport raises $750 million from Apollo

4 May 2022 , 10:17 AM

Mumbai International Airport Ltd (MIAL), which owns and operates the Chhatrapati Shivaji Maharaj International Airport (CSMIA) in Mumbai, the second largest airport in India has successfully raised USD 750 million senior secured private placement notes from Apollo-managed credit funds.

Mumbai International Airport Ltd (MIAL) is a step-down subsidiary of Adani Airport Holdings Ltd (AAHL), a company incubated by Adani Enterprises Ltd (AEL).

Apollo’s Credit business was able to provide a scaled, long-term capital solution for MIAL, with the majority of proceeds from the 7.25-years, $750 million notes to be used to refinance existing shorter maturity loans and new capital expenditure. MIAL is an iconic asset within AAHL’s expanding airport infrastructure Portfolio and the marquee private placement is among the largest-ever completed in India.

“We are pleased to work with the Adani’s to provide a comprehensive, long-term capital solution for the Mumbai International Airport, a mission-critical infrastructure asset in India,” said Brigitte Posch, Apollo Partner and Global Head of Emerging Market Debt. “Amid significant market volatility, our ability to commit to the entire transaction and take a long-term view reflects some of the key strengths of Apollo’s global credit platform and perpetual capital base.”

“We are set to transform the Mumbai airport from a functional transit point into a vibrant, full-fledged business, hospitality and leisure ecosystem for Mumbaikars and the region,” said Prakash Tulsiani, CEO, MIAL. “Combined with the Adani Portfolio’s proven speed of execution, the proceeds of this issuance will allow us to accelerate MIAL’s transformation and provide immense value to our stakeholders in the post-pandemic period and thereby improve the consumer experience.”

This issuance by MIAL, which is a strategic asset in the AAHL portfolio of airports, marks the first step in its capital management plan. AAHL will continue to diversify the sources of financing through access to different pools of capital.

After the announcement, at around 10:19 AM, Adani Enterprises stock was trading lower by 0.84% at Rs2319.65 per piece on the BSE platform.