Adani Green Energy, the renewable energy arm of Adani Enterprises, is in process of raising $500 million in green bonds for capital expenditure and refinancing of debt by the middle of June, people close to the development told FE. The fundraising was done by the three wholly-owned subsidiaries of Adani Green Energy – Adani Green Energy (UP) Ltd (AGEUPL), Parampujya Solar Energy Pvt Ltd (PSEPL) and Prayatna Developers Pvt Ltd (PDPL) to finance and refinance solar power plants and related transmission infrastructure in India, the sources said.
An email query sent to Adani Green did not elicit any response till the time of going to press. The bond would have a tenure of five and a half years and the proceeds would be used to pay off at least 70% of the existing debt, while the remainder would go towards new and under construction projects in solar and transmission segments, sources said.
Majority of the company’s existing debt belong to PSEPL at $212 million and AGEUPL at $100 million.
“The company’s existing borrowings were used to purchase property, plants, and equipment for their solar electricity generation facilities and their dedicated transmission infrastructure. Eligible green projects will comprise exclusively 100% solar energy-powered plants and dedicated transmission infrastructure for them,” sources said.
A part of Gautam Adani-led Adani Group, Adani Green operates a portfolio of 25 utility-scale solar energy projects, with 930 megawatt of total installed capacity. The projects are spread across eight states of Karnataka, Telangana, Chhattisgarh, Uttar Pradesh, Punjab, Andhra Pradesh, Rajasthan and Maharashtra.