Adani Group. file | Photo Credit: Reuters
millionaire Gautam AdaniK Group said on May 9 that it would prepay a $130 million loan as it looks to boost investor confidence after being targeted by US short-sellers.
Adani Group’s ports company Adani Ports and Special Economic Zone (APSEZ) last month issued a tender to buy back as much as $130 million of its July 2024 bonds and an equal amount in each of the next four. To regain the confidence of investors by showing ease of their liquidity position.
Read also: Adani Ports initiates $130 million buyback of debt securities
In a stock exchange filing, APSEZ said that the total principal amount of $412.7 million was validly tendered.
“Whereas the principal amount of the notes validly tendered and not validly withdrawn on or before the initial tender date [of May 8] In the event the aggregate principal amount of the outstanding Notes exceeds the maximum acceptance amount of $130 million, the Company will accept such Notes for purchase subject to a ratio factor of 34.2649%,” it said.
Shares of Adani group companies soar after Hindenburg Research A January 24 report accused him of accounting fraud and improper use of offshore tax havens for stock manipulation.
The group has denied all the allegations.
APSEZ said the buyback program for its 3.375% 2024 maturity dollar-denominated bonds closed on May 8.
The company said in a statement last month, “The purpose of the tender offer is to make partial prepayment of near-term debt maturity of the company and to indicate comfortable liquidity position.”
The Company had engaged Barclays Bank, DBS Bank, Emirates NBD Bank PJSC, First Abu Dhabi Bank, PJSC, MUFG Securities Asia Singapore Branch, SMBC Nikko Securities (Hong Kong) and Standard Chartered Bank as dealer managers for the Offer.
In addition to the Principal Amount, the Company shall pay accrued interest in respect of any Notes purchased in the Tender Offer up to and including the Final Interest Payment Date.