INSUBCONTINENT EXCLUSIVE:
MUMBAI: The Adani Group plans to prepay a $500 million bridge loan due next month after some banks balked at refinancing the debt following
lent Adani $4.5 billion to finance the purchase of Holcim Ltd cement assets last year
A portion of that loan is due March 9.The lenders were in talks to refinance the loan up to a week before the critical report from
Hindenburg Research was published, according to people familiar with the matter
people said, asking not to be identified discussing a private matter.The development is the first concrete sign that global banks are
to produce green hydrogen with the Indian tycoon has been put on hold, pending audits of his conglomerate
MSCI Inc said on Wednesday it will review the eligibility of some Adani securities in its widely followed benchmark indexes, while major
asset managers in Japan are stepping up disclosure over funds with exposure to Adani, signs of skittishness among international investors
that could dampen a nascent rally in Adani shares.An Adani spokesperson said the conglomerate had been in talks with the banks to refinance
part of the loan but the group plans to prepay it
The spokesperson said discussions with the banks have not stalled
Representatives for Barclays and Deutsche Bank declined to comment
prepay debt as it fights to regain investor confidence and stem the stock rout
positive that the group is able to pay down such obligations, it also underscores that the spike in yields on Adani debt after the
Hindenburg report would make refinancing those securities prohibitively expensive, among other challenges
International scrutinyGlobal banks are ramping up their scrutiny of the group following the Hindenburg report
Ten Adani group companies including Adani Total Gas Ltd., Adani Enterprises Ltd
and Adani Transmission Ltd
at one point erased more than $100 billion from their combined market value in the selloff.Hindenburg alleged that a web of Adani-family
controlled offshore shell entities in tax havens were used to facilitate corruption, money laundering and taxpayer theft
debt payment and as traders covered short positions
The stock has more than doubled from the low it hit during the recent selloff.
