Adani secures $3-bn credit from sovereign wealth fund
Hong Kong, March 1
Adani Group has told creditors it has secured a $3-billion loan from a sovereign wealth fund, two sources with knowledge of the matter said, as the embattled conglomerate seeks to ease debt concerns after a short-seller attack.
The credit line from the sovereign wealth fund could be increased to $5 billion, the sources said, citing a memo that was circulated to participants as highlights of a three-day investor roadshow that ended on Wednesday.
The identity of the sovereign wealth fund was not disclosed in the memo. A third person familiar with the matter said Adani’s management told investors it was from the Middle-East.
The sources declined to be identified as they were not authorised to speak with media. A spokesperson for Adani did not immediately respond to a request for comment.
Shares in Adani Group companies extended gains after the report — its flagship Adani Enterprises ended 14.7% higher and Adani Total Gas rose 4.9% in a broader Mumbai market that gained 0.9%.
The news of Adani securing fresh credit comes a day after group management told bondholders it expected to prepay or repay share-backed loans worth $690 million to $790 million by the end of March.
Those plans are being unveiled as the group held a fixed-income roadshow this week in Singapore and Hong Kong to shore up investor confidence amid steep share price falls and regulatory probes. — PTI
All group firms’ stocks end in green
- The credit line from the sovereign wealth fund could be increased to $5 billion, the sources said
- Though the identity of the sovereign wealth fund was not disclosed, sources said it was from the Middle-East
- The ports-to-airport conglomerate’s management also sought to reassure investors that it has sufficient cash to prepay a lot of debts, including onshore bonds
