Adani Prepays Dues On $2.15 Billion Share-Linked Financing, $500 Million Loan For Ambuja Financing

Adani Group had, earlier this month, completed the repayment of loans worth Rs 7,374 crore, which were taken against company shares as collateral, well ahead of the maturity in April 2025.

New Delhi: The Adani Group has said that it has completed full repayment of margin-linked share-backed financing aggregating $2.15 billion, well before the committed timeline of 31 March 2023. The group added that this is in continuation of the promoters’ commitment to repay the promoter leverage.

Apart from the share-backed financing, Adani Group promoters have also prepaid the $500-million loan facility taken for financing the acquisition of Ambuja Cements Ltd.

“This is in line with promoters’ commitment to increase equity contribution, and promoters have now infused $2.6 billion, out of total acquisition value of $6.6 billion for Ambuja and ACC,” the statement released by Adani Group said.

It took six weeks to completed the entire prepayment program of $2.65 billion has been completed within 6 weeks.

“It testifies the strong liquidity management and access to capital at sponsor level, supplementing the solid capital prudency adopted at all portfolio companies,” the group said.

Adani Group had, earlier this month, completed the repayment of loans worth Rs 7,374 crore, which were taken against company shares as collateral, well ahead of the maturity in April 2025. This prepayment has released nearly 155 million shares in Adani Ports, 31 million shares in Adani Transmission, and 11 million shares in Adani Green to the promoters.

Earlier this month, US-based GQG Partners had pumped in $1.9 billion in four Adani Group companies. The latest announcement by the group comes at a time when reports had said that Gautam Adani is looking at selling a partial stake in Ambuja Cements to raise about Rs 3,000 crore to repay loans.

Adani Group has been on a prepayment spree after US-based short seller Hindenburg Research’s report against the group resulted in a wipe out of Adani Group shares. These are part of the various steps taken by the group to convince investors the group’s ability to service debt.

Hindenburg Research, on 24 January 2023, released the report accusing the Adani Group of improper use of offshore tax havens, stock manipulation and raised concerns regarding the group’s debt levels.