MUMBAI: The Adani Group said on Friday that it has refinanced part of the debt taken for the acquisition of Ambuja Cements and ACC through a $3.5 billion financing package raised from a clutch of international banks.
The loan will have a tenor of three years and will result in an interest cost saving of around $300 million, the Adani Group said, without disclosing the terms of the agreement. This comes at a time when interest rates have significantly gone up globally following rate hikes by the US Federal Reserve.
The transaction is being financed by a consortium of 10 international banks including DBS Bank, First Abu Dhabi Bank, Mizuho Bank and MUFG Bank. Other banks in the consortium include Barclays Bank PLC, BNP Paribas, Deutsche Bank, ING Bank, Sumitomo Mitsui Banking Corporation and Standard Chartered.
“This showcases Adani’s robust access to the global financial market and strong liquidity position. This achievement reflects our commitment to financial stability and growth,” the Adani Group said in a statement.
ET first reported on March 28 that the Adani Group was seeking to renegotiate the terms of acquisition financing of ACC and Ambuja Cements.
The promoters of the Adani Group had borrowed $5.25 billion to fund the $6.6 billion acquisition of the cement companies from Holcim in August last year.
