Is Adani Enterprises Launching Its Third Rs 1,000 Crore NCD Issue with Up to 8.90% Interest?
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Synopsis
Adani Enterprises has launched its third public NCD issue worth Rs 1,000 crore, offering an attractive annual interest rate of up to 8.90%. This initiative aims to expand retail investor participation in infrastructure growth, following the success of earlier offerings. Investors can apply starting January 6, with a minimum investment of Rs 10,000.
Key Takeaways
- Minimum application size: Rs 10,000
- Interest rate: Up to 8.90% per annum
- Open for subscription: January 6 to January 19
- Credit rating: Care AA-; Stable and ICRA AA- (Stable)
- Use of proceeds: Debt repayment and corporate purposes
Ahmedabad, Jan 2 (NationPress) Adani Enterprises Limited (AEL), the flagship entity of the Adani Group, has officially revealed the commencement of its third public offering of secured, rated, listed, redeemable, non-convertible debentures (NCDs) valued at Rs 1,000 crore, which provides an attractive yield of up to 8.90 percent per annum.
The issuance is set to open on January 6 and will conclude on January 19, with provisions for early closure or extension. The NCDs carry a nominal value of Rs 1,000 each.
Interested investors can apply for a minimum of 10 NCDs, with further purchases in increments of 1 NCD thereafter. Therefore, the minimum application size will be Rs 10,000, as stated by AEL, recognized as India’s largest listed business incubator by market capitalization.
The base issue size is pegged at Rs 500 crore, with an option to retain additional subscriptions up to another Rs 500 crore, aggregating the total issue size to Rs 1,000 crore.
Group CFO Jugeshinder ‘Robbie’ Singh articulated, “This third NCD issuance is a significant milestone in our journey to enhance accessibility to India’s capital markets, granting retail investors a chance to invest in long-term infrastructure development. The robust response to our previous offerings solidifies confidence in our strategic approach and financial prudence, which we intend to leverage further.”
Singh also emphasized, “As the catalyst for India’s next infrastructure revolution—from airports to data centers and green hydrogen—AEL is committed to fostering businesses that will drive the nation’s economic transformation.”
According to the company’s disclosure, at least 75 percent of the funds raised will be allocated towards the prepayment or settlement of existing debts, including accrued interest, with the remaining 25 percent designated for general corporate purposes.
AEL’s second NCD offering of Rs 1,000 crore, initiated in July last year, was completely subscribed within just three hours on the launch day.
In light of recent interest rate reductions and a more accommodating interest cycle, this AEL NCD offering arrives at a prime moment for investors seeking reliable, fixed-income opportunities. Presenting competitive returns compared to similarly rated NCDs and fixed deposits, this public issuance offers a compelling investment option.
The proposed NCDs have received ratings of “Care AA-; Stable” from CARE Ratings Limited and [ICRA]AA- (Stable)” from ICRA Limited. Securities with these ratings are deemed to possess a high level of safety regarding the timely fulfillment of financial obligations, carrying very low credit risk.
The NCDs will be available in durations of 24 months, 36 months, and 60 months, with options for quarterly, annual, and cumulative interest payments across eight different series.
Point of View
It's essential to recognize the significance of Adani Enterprises' latest NCD issuance. This move not only reflects the company's strategic efforts to engage retail investors but also highlights the growing accessibility of capital markets in India. With a robust rating and a compelling interest rate, this offering is timely for investors seeking stable returns amidst a shifting economic landscape.
NationPress
10/01/2026
Frequently Asked Questions
What is the purpose of the NCD issuance?
The NCD issuance aims to enhance access to capital markets for retail investors and support long-term infrastructure growth in India.
What is the minimum investment required?
The minimum investment for the NCDs is Rs 10,000, which corresponds to an application for 10 NCDs.
When can investors apply for the NCDs?
Investors can apply for the NCDs starting January 6 until January 19.
How is the investment rated?
The NCDs have been rated 'Care AA-; Stable' by CARE Ratings and '[ICRA]AA- (Stable)' by ICRA, indicating a high degree of safety.
What will the proceeds be used for?
Proceeds will primarily be used for prepaying existing debts and general corporate purposes.
