Adani Ports Raises Record Rs 5,000 Cr Via 15-Year Domestic NCD

Adani Ports and Special Economic Zone (APSEZ) has raised Rs 5,000 cr through a 15-year non-convertible debenture fully subscribed by LIC to strengthen its long-term capital structure.

- TBG NETWORK

Adani Ports and Special Economic Zone (APSEZ), the logistics and port arm of the Adani Group, on Friday announced that it has successfully raised 5,000 crore through a 15-year Non-Convertible Debenture (NCD) issuance. This marks the company's largest ever domestic bond issue and one of the longest-tenured instruments in the history of India's capital markets.

The NCDs, fully subscribed by the Life Insurance Corporation of India (LIC), were issued at a competitive coupon rate of 7.75%, backed by APSEZ's robust financial position and a strong 'AAA/Stable' domestic credit rating. The debentures will be listed on the Bombay Stock Exchange (BSE), allowing greater transparency and liquidity in the secondary market.

Debentures are long-term debt instruments used by companies to raise capital from investors without diluting equity. In APSEZ's case, the proceeds from this particular issuance are earmarked for the planned buyback of the company's outstanding US Dollar bonds, subject to final board approval on May 31, 2025. This move is expected to significantly optimize the company's debt profile and reduce currency-related exposure.