Adani Enterprises Limited (AEL) is set to return to the debt markets with its latest non-convertible debenture (NCD) issue, opening on 9 July 2025 and running until 22 July 2025. Riding on the success of its 2024 debut NCD, which saw strong investor participation and subsequent credit rating upgrades, AEL’s latest offering signals renewed intent to reinforce its financial footing amid its aggressive infrastructure expansion.
Key Terms: Structured to Attract Yield-Hunters
The proposed issuance includes:
- Base size: ₹500 crore
- Green shoe option: ₹500 crore
- Total potential size: ₹1,000 crore
Each debenture is priced at ₹1,000, with a minimum investment threshold of ₹10,000 (10 NCDs) and increments available in units of one. The instruments will be listed on both BSE and NSE, ensuring tradability and liquidity for retail and institutional investors alike.
Investors will be able to select from 8 series across tenors of 24, 36, or 60 months, with interest payout options that include quarterly, annual, or cumulative returns. Depending on the chosen structure, yields will range between 8.95% and 9.30%, positioning the offering competitively against market alternatives.
Fund Utilization: Strategic Debt Optimization
AEL has committed to deploying at least 75% of net proceeds toward prepayment or repayment of existing borrowings, with the balance directed towards general corporate purposes. This reflects a prudent approach to capital management as the conglomerate pushes deeper into capital-intensive sectors such as:
- Airports
- Road infrastructure
- Data centres
- Green hydrogen and renewables
Market Momentum & Institutional Confidence
The move follows the September 2024 NCD issuance, which was fully subscribed on day one and later delivered capital gains for bondholders following a credit rating upgrade — reinforcing AEL’s credibility in the debt markets.
“This new issuance follows the strong market response to AEL’s debut NCD offering, which witnessed capital appreciation for debt investors after a rating upgrade within six months,” noted Jugeshinder Singh, Group CFO of Adani Group, in recent media coverage.
Singh added that AEL is actively scaling “next-generation infrastructure businesses,” aligning with India’s long-term national growth priorities.
Market Outlook: Infrastructure-Backed Debt in Focus
The NCD issuance arrives at a time when private credit and structured debt instruments are gaining traction among yield-focused investors. With infrastructure spending expected to be a cornerstone of India’s GDP trajectory over the next decade, Adani Enterprises’ diversified footprint across transport, logistics, and clean energy makes its debt instruments an attractive fixed-income option.
The issue is being led by a consortium of reputed investment banks and advisors:
- Nuvama Wealth Management Limited
- Trust Investment Advisors Private Limited
- Tipsons Consultancy Services Private Limited
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Adani Enterprises’ ability to swiftly return to the debt markets with a larger offering underlines the growing confidence in infrastructure-backed bonds in India. With high-quality ratings, diversified asset backing, and flexible investment options, AEL’s NCDs are set to draw strong institutional and retail interest — particularly from those seeking risk-adjusted fixed-income plays amidst volatile equity markets.
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IMAGE: Reuters
