Adani Enterprises To Roll Out First Public Bond Issue To Raise Rs 600 Cr

India's Adani Enterprises, the flagship firm of Adani Group, is set to roll out its first-ever public bond issue in the coming weeks to raise up to Rs 600 crore (USD 71.7 million), Reuters reported while citing sources.

Reuters further reported that the company has already filed a draft prospectus with the Securities Exchange Board of India (SEBI). So the issue should open in mid-August after the final approval.

This move comes after Adani Enterprises decided against proceeding with a debut retail bond offering of up to Rs 1,000 crore last year, following accusations from US-based short-seller Hindenburg Research. The report alleged improper use of offshore tax havens and stock manipulation within the group. While Adani Group denied these allegations, the incident resulted in a significant loss of over USD 100 billion in the market value of its group companies before a recovery in late 2023.

Last week, the company informed the exchanges that it had filed a draft prospectus with SEBI and revealed that the public issue would include a base size and a greenshoe option of Rs 300 crore each. CareEdge has assigned an A+ rating to Adani Enterprises' bonds.

Trust Investment Advisors, AK Capital Services, and Nuvama Wealth Management are the lead arrangers for the issue, the sources added.

Since the Hindenburg report in January 2023, Adani Group companies have raised more than USD 670 million through listed rupee bonds and one dollar bonds. Additionally, Reuters reported on Monday that Adani Energy Solutions is likely to conduct a share sale this week to raise more than USD 600 million. This sale of existing shares will mark Adani Group's first equity market fundraising since a USD 2.5 billion share sale was scrapped in February 2023.