Trade Unlisted is not regulated by the Securities and Exchange Board of India (SEBI). Investments in unlisted securities involve significant risk, including the risk of complete loss of capital. The filing of a Draft Red Herring Prospectus (DRHP) does not guarantee that an Initial Public Offering (IPO) will occur. Unlisted securities are inherently illiquid, price discovery may be limited, and exit opportunities may not materialize.
Trade Unlisted provides news, insights, and general market information for informational and educational purposes only. The content should not be construed as financial, investment, legal, or tax advice. Trade Unlisted does not act as a broker, investment advisor, fiduciary, or intermediary, and does not endorse, recommend, solicit, or validate any investment opportunity. Users are solely responsible for conducting their own independent due diligence before making any financial or investment decisions.
All information is derived from publicly available sources and market observations. While reasonable care is taken in preparing content, Trade Unlisted makes no representations or warranties regarding the accuracy, completeness, timeliness, or reliability of the information provided. Users should independently verify all information prior to relying on it.
India’s SBI Mutual Fund to Anchor at Least 10% of Adani Group’s Largest Rupee Bond Issue: Bankers
India’s SBI Mutual Fund to Anchor at Least 10% of Adani Group’s Largest Rupee Bond Issue: Bankers
SBI Mutual Fund Commitment: State Bank of India’s mutual fund arm has agreed to invest at least 10% (₹7.5 billion) in Adani Power’s planned rupee-denominated bond issue as an anchor investor.
Issue Size: The bond offering is expected to total ₹75 billion (about $820 million), making it the largest rupee bond sale by an Adani Group company.
Allocation Across Tenors: Adani Power plans to raise ₹28.6 billion from two-year notes and ₹26.9 billion from three-year notes, with SBI MF subscribing ₹4.5 billion and ₹3 billion to those respectively.
Coupon Structure: The bonds carry coupon rates ranging from 8.00% and 8.20% on the shorter tenors to 8.30% and 8.40% on the four- and five-year papers.
Remaining Tranches: The company will also issue ₹6.75 billion four-year and ₹12.75 billion five-year securities to complete the ₹75 billion sale.
Arrangers & Additional Support: Trust Investment Advisors, ICICI Bank, and Axis Bank are arrangers for the bond sale; ICICI and Axis have also made additional purchase commitments of roughly ₹3.31 billion and ₹3 billion respectively.
Ratings & Terms: The bonds have been assigned an “AA” rating by Crisil and India Ratings. They include provisions to increase coupon rates by 25 basis points for each downgrade in credit rating.
Context: Earlier in the financial year, another Adani Group firm, Adani Ports and Special Economic Zone, raised ₹50 billion in long-dated bonds placed directly with Life Insurance Corporation of India.
Comments