Adani Green Energy Ltd. has deferred its $1.2 billion bond offering until after the US elections due to unfavourable market conditions. The company believes waiting will result in better pricing compared to onshore bonds or bank financing options currently available, leading to a more favourable outcome.
The bond was set to be a 20-year green note tied to the conglomerate’s clean-energy business. Although the launch had received a positive response, Adani Green decided to postpone the sale to achieve tighter pricing and take advantage of better market conditions.
Also read: Ambuja Cements Shares Drop 2% After ₹909 Crore Block Deal
The company launched its IG-rated Hybrid RG notes but deferred the sale at the last minute. Adani Green hopes to benefit from improved conditions post-US elections, anticipating a more favourable outcome in terms of pricing and overall financial performance.
Proceeds from the bond sale were intended to repay foreign-currency loans. However, the company felt that waiting would lead to better financial outcomes. Onshore bonds and bank financing are alternative options being considered in the short term.
Also read: Hyundai Motor India IPO Day 2 LIVE: Key Details Inside
Adani Green is now targeting two potential windows for the bond sale: immediately after the US elections or in the second week of January 2025, following the New Year holiday period. The company is closely monitoring market developments to make the final decision.
The Hybrid RG includes 1,840 MW of operational wind-solar hybrid assets with an investment-grade rating from both Fitch and Moody’s. This makes it one of the strongest credit profiles in India’s renewable energy sector, enhancing its attractiveness to potential investors.
