Adani Ports and Special Economic Zone (APSEZ) is conducting roadshows as it seeks investors for its debut overseas dollar-denominated bond issue, say sources.
“The roadshows will start on Thursday for investors across Singapore, Hong Kong, West Asia, the UK as well as the US, and will continue for a week. The transaction is likely to follow by end of the next week, subject to investor demand,” a bond arranger close to the development told FE on Wednesday.
Standard & Poor’s has assigned a ‘BBB-‘ long-term corporate credit rating to the company’s proposed issue of US dollar-denominated senior unsecured notes. Bank of Amercia-Merrill Lynch, Barclays, Citi and Emirates NBD are the bankers to the issue, according to sources.
“The size and tenure of the issue will be decided depending on investor appetite,” a bond arranger said. The proceeds of the bonds, if and when issued, will be utilised for the refinancing the existing ECB facility and capital expenditure as provided under the RBI guidelines, the company said in a filing to the BSE.
An S&P note states that APSEZ’s annual capital expenditure will be close to Rs2,500 crore for the next two years before falling to Rs1,500 crore.