Adani Energy plans at least $500 million foreign debt offering

Core Viewpoint - Adani Energy Solutions Ltd. is planning to raise at least $500 million in foreign-currency debt to support its infrastructure investments, with the total funds potentially reaching $750 million [1][2]. Fundraising Details - The company is exploring various fundraising options, including Regulation D bonds, which allow for private sales of securities without full public registration [1]. - Documentation for the fundraising has begun, and discussions are ongoing with global financial institutions [2]. Investment Plans - The funds raised will be used to reduce the cost of capital and support the company's transmission buildout, which currently includes projects worth 600 billion rupees ($6.8 billion) under construction and 964.5 billion rupees in near-term tendering opportunities [3]. Company Context - This fundraising initiative follows a period of scrutiny for the Adani Group, including fraud allegations and a bribery probe, as the group refocuses on growth [4]. - BofA Securities has initiated overweight coverage on select dollar bonds, citing operating profit growth due to expanding capacity and a moderating debt profile [4]. Previous Fundraising - Earlier in the year, the Adani Group raised approximately $750 million through an offshore private placement bond, with BlackRock Inc. subscribing to about one-third of that amount [5]. - Management teams from the Adani Group are scheduled to meet with equity and credit investors, banks, and bond-rating firms in Singapore on November 24 and 25 [5].