Adani Green Energy Limited (AGEL), India's leading renewable energy company, has successfully refinanced its inaugural construction facility, securing $1.06 billion in long-term financing. This strategic move is aimed at supporting the development of India's largest solar-wind hybrid renewable cluster located in Rajasthan.
Key Details:
- Project Focus: The refinancing pertains to AGEL's solar-wind hybrid renewable cluster in Rajasthan, a significant initiative in India's renewable energy landscape.
- Financing Structure: The new long-term financing arrangement features a 19-year door-to-door tenor with a fully amortized debt structure, aligning with the asset's lifecycle.
- Financial Ratings: The refinancing facility has received an AA+/Stable rating from three domestic rating agencies—ICRA, India Ratings, and CareEdge Ratings—reflecting the company's strong financial health.
Company Overview:
AGEL stands as India's largest renewable energy company, developing, owning, and operating utility-scale grid-connected solar, wind, hybrid, and hydro pumped storage renewable power plants. The company currently boasts an operational renewable portfolio of 12.2 GW across 12 Indian states and has set an ambitious target of achieving 50 GW by 2030, aligning with India's decarbonization goals.
Context and Implications:
This refinancing marks AGEL's first major fundraising endeavor since the U.S. Department of Justice indicted top executives, including Chairman Gautam Adani, in November 2024 over alleged bribery charges. The company had previously shelved a $600 million bond offering following these allegations. The successful refinancing demonstrates AGEL's resilience and commitment to advancing its renewable energy projects amidst challenging circumstances.
By securing this substantial refinancing, AGEL reinforces its position as a pivotal player in India's renewable energy sector, ensuring the continued development of sustainable energy solutions and contributing to the nation's clean energy transition.