Adani Group to repay $790 million share-backed loans by MarchReport

By India Today Business DeskThe Adani Group is actively taking steps to reduce debt accumulated by its listed entities as it continues to face the wrath of a scathing report released by a US short seller, Hindenburg Research.

Gautam Adani’s port-to-power conglomerate is reportedly looking to prepay or repay share-backed loans worth between $690 million and $790 billion by the end of March 2023, reported news agency Reuters after speaking to two people familiar with the matter.

The move is aimed at improving its credit profile and regaining the confidence of investors and global financial institutions after the short seller’s attack depleted the group’s total market value by over Rs 12 lakh crore.

Adani Green Energy, one of the worst-affected in terms of market valuation, plans to refinance its 2024 bonds via a $800 million, three-year credit line, according to the sources who spoke to the news agency.

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Those plans were reportedly presented by the Adani management to the group’s bondholders in Hong Kong on Tuesday. However, Adani Group CFO Jusgeshinder Singh told Bloomberg news on the sidelines of an investor roadshow that the conglomerate is not seeking to refinance debt or inject capital.

Adani Group has not officially commented on the fresh debt repayment plans. On Monday, the group dismissed a report, which claimed that the group was looking to raise debt against shares of a key Australian asset.

Several media reports over the past few weeks indicate that the Adani Group is trying to reduce its debt levels, as it is the biggest worry among its investors and stakeholders.

As a result of the panic, the listed entities of Adani Group have lost over Rs 12 lakh crore since Hindenburg came out with its report last month. It is worth noting that Hindenburg had also flagged concerns about the high debt levels, apart from accusing the group of stock manipulation and improper use of tax havens.

Also Read | Rs 12 lakh crore gone! Hindenburg continues to make Adani stocks bleed

While the Adani Group has strongly rejected the allegations and denied wrongdoing, it has failed to soothe investors, leading to heavy losses for all of the conglomerate’s listed entities on the stock market.