iifl-logo

Invest wise with Expert advice

By continuing, I accept the T&C and agree to receive communication on Whatsapp

sidebar image

GMR Airports plans to raise Rs 1,950 crore with ~13% yield debt

20 Nov 2023 , 10:18 AM

GMR Airports Holdings plans to raise Rs. 1,950 crore through a high-yield debt offering with a coupon rate of 13.275% and a three-year tenor.

According to persons familiar with the process, Credit Solutions India Trust has pledged Rs 500 crore as the anchor investor for this offering.

The coupon rate comprises a 5% cash coupon and an annual redemption premium of 8.275%. The issue has received a ‘A-‘ grade from Care Ratings, and the subscription book is set to launch on November 20.

GMR Airports Holdings, the parent company of Delhi International Airport Ltd (DIAL) and GMR Hyderabad International Airport Ltd (GHIAL), intends to refinance its existing non-convertible bonds (NCBs) with the money raised. According to reports, further profits will be spent towards investments and potential stock purchases in subsidiaries.

Despite solid increase in passenger traffic at DIAL and GHIAL, the firm has debt-related issues, according to the rating assessment, and GAL, the holding entity, is reliant on ‘debt-funded equity investments’ due to insufficient upstreaming of cash flows from operational subsidiaries.

According to the report, the company’s outstanding NCBs, including accrued interest, amounted at 3,906 crore as of September 30, 2023, with a large redemption expected in December 2023.

For feedback and suggestions, write to us at editorial@iifl.com

explored-media

Related Tags

  • GMR Airports
  • GMR Airports Fund Raise
  • GMR Airports News
  • GMR Airports Updates
sidebar mobile

BLOGS AND PERSONAL FINANCE

Read More
Knowledge Center
Logo

Logo IIFL Customer Care Number
(Gold/NCD/NBFC/Insurance/NPS)
1860-267-3000 / 7039-050-000

Logo IIFL Capital Services Support WhatsApp Number
+91 9892691696

Download The App Now

appapp
Loading...

Follow us on

facebooktwitterrssyoutubeinstagramlinkedintelegram

2025, IIFL Capital Services Ltd. All Rights Reserved

ATTENTION INVESTORS

RISK DISCLOSURE ON DERIVATIVES

Copyright © IIFL Capital Services Limited (Formerly known as IIFL Securities Ltd). All rights Reserved.

IIFL Capital Services Limited - Stock Broker SEBI Regn. No: INZ000164132, PMS SEBI Regn. No: INP000002213,IA SEBI Regn. No: INA000000623, SEBI RA Regn. No: INH000000248
ARN NO : 47791 (AMFI Registered Mutual Fund Distributor)

ISO certification icon
We are ISO 27001:2013 Certified.

This Certificate Demonstrates That IIFL As An Organization Has Defined And Put In Place Best-Practice Information Security Processes.